Mortgage fees when moving house are only part of what you can expect to pay. Moving house costs also include the purchase price, deposit, legal fees, tax and removals.
A lender may keep some fees if your mortgage does not complete.
Mortgage fees at a glance
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Lender fees vary between deals
Mortgage costs can include product, booking, valuation or account fees, although some mortgage products have no upfront lender fees.
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The lowest rate may cost more
A low rate with a high mortgage product fee may cost more than a higher rate with a smaller fee.
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Are mortgage fees refundable?
Lenders may not refund it if you do not proceed.
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Product fees can be added
Adding the fee reduces the upfront cost, but increases your mortgage balance and the interest paid.
Compare mortgage rates and fees
Which costs are involved?
Buying, selling or doing both can involve different fees. The table shows who normally pays them and when.
Cost
Buyer
Seller
Usually paid
Mortgage deposit
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–
Exchange or completion
New mortgage fees
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–
Application or completion
Mortgage exit fee or redemption fee
–
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Completion
Property purchase tax
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–
Completion
Legal and conveyancing fees
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During the process or completion
House survey costs
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–
After an offer is accepted
Estate agent fees
–
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Usually after completion
Energy Performance Certificate (EPC)
–
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Before marketing the home
Removals
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Before or around moving day
Is a mortgage deposit a fee?
No. A mortgage deposit is your contribution towards the purchase price and becomes equity in the home.
Where an exchange deposit applies, it forms part of the same funds rather than a second deposit.
Keep separate money for fees, tax, legal work and moving costs. A larger deposit may lower your loan-to-value ratio and improve your mortgage options.
Mortgage fees when buying a home
Mortgage arrangement fee or mortgage product fee
Charged for a particular deal. A higher fee may come with a lower rate, so compare the total cost.
Mortgage booking fee or application fee
Lenders may charge it when you apply or reserve a rate and not refund it if you withdraw.
Mortgage valuation fee
Covers the lender’s check of the property value. It is not a full survey of its condition.
Mortgage account fee and transfer fee
May cover account administration and sending the mortgage funds to your conveyancer.
Mortgage broker fees
At Muttuo, mortgage broker fees cover the work involved in finding, recommending and progressing a suitable mortgage. We check options from over 100 lenders and support your application through to offer.
- Existing Muttuo customers: Free
- Standard mortgage advice: £499
- Complex mortgage advice: £749
No fee is payable unless you receive a mortgage offer from a lender.
Should you add the product fee to your mortgage?
Option
Benefit
Check
Pay the fee upfront
Avoid interest on the fee
Check whether it is refundable
Add product fee to mortgage
Lower upfront cost
Your balance rises and interest applies
Adding the fee can protect your cash during a move, but increases the amount repaid. Compare the rate, fee and cashback over the initial deal period.
Review your mortgage costs
Use our repayment calculator to see how adding a fee may affect your monthly payments.
Costs of buying a house
Legal fees when buying a house
Conveyancing covers legal work, searches, registration and fund transfers. Check whether the quote includes identity and bank fees.
House survey costs
A lender valuation is not a full survey. Your own survey may uncover faults or repairs.
Stamp Duty and purchase tax
Buyers may pay Stamp Duty Land Tax in England or Northern Ireland.
Wales uses Land Transaction Tax, while Scotland uses Land and Buildings Transaction Tax.
Insurance and moving costs
A lender may require buildings insurance before completion. Removals, storage and urgent repairs also add to the budget.
For more detail on the costs of buying a home, read our guide.
Fees when selling a home
Estate agent fees
Agent contracts may use fixed fees or percentages of the sale price. Agreements vary on VAT and tie-in periods.
Legal fees when selling a house
Your conveyancer handles the sale and repays the mortgage. Leasehold sellers may also pay for a management pack.
Energy Performance Certificate
An EPC is usually legally required before marketing. Check whether an existing certificate remains valid.
Mortgage exit fee
Your lender’s redemption figure may include a mortgage redemption fee or early repayment charge (ERC).
Tax and moving costs
Capital Gains Tax may apply if the property is not your main home.
Repairs, storage and removals also add to the cost of selling a house.
Costs when buying and selling together
Home movers may face both sets of costs. Estimate the equity left after selling:
Sale price − mortgage balance − selling costs − mortgage charges = available equity
Equity may cover your next deposit, purchase tax and other buying costs. Keep cash for fees due before completion.
Estate agent, legal and mortgage costs often come from the sale proceeds. Surveys and application fees may be due earlier.
You may be able to port your mortgage, subject to lender checks. Extra borrowing may have a different rate and product fee.
Costs to plan for after moving
Regular household bills
Budget for repayments on your mortgage, Council Tax, insurance, energy, water and broadband.
Property charges
Leasehold homes may have service charges and ground rent.
Some freehold homes have estate management fees.
Maintenance and repairs
Owners pay for maintenance and repairs.
Keep an emergency fund for urgent work, decorating or improvements.
How Muttuo Mortgages can help
The mortgage with the lowest rate may not always offer the lowest overall cost. Product fees, cashback and other incentives can all affect which option provides better value.
Muttuo Mortgages can help you:
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compare mortgage options from over 100 lenders
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review rates, product fees and incentives together
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decide whether to pay a product fee upfront or add it to the mortgage
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compare porting your current mortgage with taking a new deal
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understand any Muttuo mortgage advice fee before you proceed
Our advisers can explain the costs linked to each option, helping you make a more informed choice.
Ready to explore your mortgage options?
Speak to Team Muttuo for help comparing lenders, rates and deposit requirements.
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