Mortgage fees ‘on the up’ due to crunch
Fees for home loans - including those of mortgages for professionals such as architects and dentists - are on the up, new research shows.
Property website mform.co.uk said that application fees for the five most "competitive" three year fixed rate mortgages have risen by 96 per cent over the past year.
Lenders being starved of revenue from the credit crunch, and trying to claw back loans funding, has been blamed for the rising costs.
Mform.co.uk also found that typical arrangement fees on top two year fixes had increased by 48 per cent since the beginning of the financial crisis.
Francis Ghiloni, marketing and business development director at mform.co.uk, commented: "After all the panic of recent weeks in the mortgage market, people may be tempted to grab the best deal they can and focus on rates to the exclusion of everything else.
"They could be in for a nasty shock when it comes to the fee which is charged as they have rocketed in the past year."
According to the Financial Services Authority, around 1.4 million of Britons with home loans, such as mortgages for professionals, will be looking for a new deal this year as their fixed rate period ends.
Property website mform.co.uk said that application fees for the five most "competitive" three year fixed rate mortgages have risen by 96 per cent over the past year.
Lenders being starved of revenue from the credit crunch, and trying to claw back loans funding, has been blamed for the rising costs.
Mform.co.uk also found that typical arrangement fees on top two year fixes had increased by 48 per cent since the beginning of the financial crisis.
Francis Ghiloni, marketing and business development director at mform.co.uk, commented: "After all the panic of recent weeks in the mortgage market, people may be tempted to grab the best deal they can and focus on rates to the exclusion of everything else.
"They could be in for a nasty shock when it comes to the fee which is charged as they have rocketed in the past year."
According to the Financial Services Authority, around 1.4 million of Britons with home loans, such as mortgages for professionals, will be looking for a new deal this year as their fixed rate period ends.
