Mortgage fee

katie_saver

If my mortgage is set up and I have paid the fee but this particular house sale falls through will I have to pay another fee in order to set up a mortgage for a different property? Or can I just assume I have set up a mortgage for a set amount subject to a satisfactory survey and valuation by the bank?

PasseySam

Hi Katie_saver,

I don't know what company your mortgage is with but we have set one up with HSBC and the advisor at HSBC told me the fee was to reserve the rate but was transferable if our sale fell through. If the sale falls through you would lose any valuation and survey fees that you had paid though.

Our advisor told us that our mortgage deal would be reserved for 6 and possibly 9 months in the event that the sale fell through and we had to find somewhere else, which could happen multiple times. If it falls through I think the mortgage deal just gets put on hold until you find a new property to buy and as long as you don't want to borrow more money than was originally agreed then when you find the new property you just tell the lender the new details and it all gets transferred onto the new purchase.

Hope this helps, I'm not a mortgage expert by any stretch of the imagination and it may be different with different lenders but this is our experience so far. Although we're only just beginning our purchase on this property so it may not work to plan...

You might get some good advice posting on the mortgages board, some very helpful mortgage advisors often post there to offer advice....

Good luck buying!