Will they refund my valuation fee?

Inexperienced_Buyer

Dear Forum

I'm hoping for some information / advice so that I'm armed with a bit more knowledge before I call the mortgage centre.

My question is... I've applied for a fee-free mortgage and paid for a homebuyers report but put the mortgage application on hold before the valuation has been carried out. If I cancel my mortgage application, am I entitled to a refund? The only paperwork I have is the key facts document. I admit to being totally at fault for panicking and paying for the valuation without asking about the Terms and Conditions.

Any information would be gratefully received.

Thanks in advance

dunstonh

Depends on the terms and conditions.

If it says non-refundable then that means it wont be refunded.

I admit to being totally at fault for panicking and paying for the valuation without asking about the Terms and Conditions.

It will be in the mortgage key features illustration.

Inexperienced_Buyer

Thanks for your reply, I just re-checked the Key Facts, don't know why I didn't spot it the first time. It does unfortunately say non-refundable, however it only quotes for the bank's valuation fee rather than the valuation fee and homebuyers report - I will cross my fingers that I can get some of it back.

Inexperienced_Buyer

I'd like to add to my original question. If I tell the bank that I would like to cancel but since I can't have a refund I want them to do the valuation first - can they refuse to do the valuation but still keep the money? Again, thanks in advance for any information.

mr_fishbulb

Inexperienced_Buyer wrote: »

I'd like to add to my original question. If I tell the bank that I would like to cancel but since I can't have a refund I want them to do the valuation first - can they refuse to do the valuation but still keep the money? Again, thanks in advance for any information.

What would be the point?

Inexperienced_Buyer

The point of them doing it or the point of them refusing to do it? I have found a better mortgage so could take the valuation with me if the survey company are on the new bank's approved list. As for the point of the bank doing it for me - I've paid them good money so I would hope they would carry out the homebuyers report for me for good customer service but perhaps I am being a little optimistic!

Conrad

Very confusing

You said you applied for a FEE FREE mortgage - so presumably the only fee you paid was the OPTIONAL and additional homebuyer survey portion in which case that should be refundable. The KFI will not help as it will only cover essential mandatory items which the homebuyer report is not.

Cazza

So you have paid the "additional" amount for the homebuyers fee?? ie, the standard valuation fee of £250 was a freebie, the homebuyers report was £600, so you've paid the difference of £350?

Past experience would be that if the report had neither been instructed or carried out, then usually you would get a full refund. If the report has been instructed but not carried out, you would get a refund, possibly with an admin fee of £30-50 deducted. If the report has been instructed and carried out, nothing back at all. It will probably say non refundable on all the paperwork, but usually banks are fairly reasonable (for once!) about this.

If you're still looking for another property and you want to continue with this lender, but not found another property yet, you can always just ask them to put this application on hold and then give then the new property details when you find it. They will then transfer the existing fees you have paid and paperwork onto the next application.

HTH!

Inexperienced_Buyer

Thank you all for your replies. It's helpful to hear different people's views and experiences. Sorry for any confusion caused by my bad explanation of the situation. When I said "fee free" I meant that there is no mortgage arrangement fee. There was an option to pay £250 for the bank's basic valuation fee or £450 for the bank's valuation fee and the homebuyers report together, which is what I paid. I will post the outcome when I know the answer. Thanks again.

Inexperienced_Buyer

For anyone who finds themself in a similar situation, I am pleased to report that I received a full refund for the valuation. I feel very lucky! Thanks to all those who replied to my question.

becca0417

Glad you got it back!