7 year fix odd question

Roly79

Hello Moneysavers and experts

Looking at buying a house ASAP as relocating to the UK and will be homeless pretty soon. We have got a mortgage agreement in principle with the Chelsea. We have the 30% deposit required for the LTV and the rate will be 7 year fix at 3.99 (was 3.74 when I initially applied).

We have several offers on a house but it has not been accepted yet! (greedy I think). There is a fee of £195 for this mortgage upfront but this will fix the rate as above for 6 months presuming the purchase goes through ok. I am really keen on this rate and this house but not sure weather to throw £195 at getting this rate/mortgage.

Has anybody paid to fix a mortgage rate but not had an offer on a house accepted. I know it sounds a strange way of doing it but rates are in my eyes only going one way and it's already risen by .25% and is still competitive so may go up again soon!. sorry for the ramble and thanks in advance.

the mortgage will be approx £120,000 if this helps

thanks

ACG

This happens with a lot of building societies. They will charge an upfront fee.
There are occasions where you pay the fee and the mortgage will be declined for various reasons (usually property not meeting the valuation).

There is no right or wrong answer here, its dependent on yourself and the risk your prepared to take. If you think it will meet the valuation and you will also be accepted for the mortgage then its worth doing if its the best deal for you.

Thrugelmir

Fee is £395 on the product.