Remortgaging - Solicitors /Conveyancing Fees

coffee_king

Hi All
My first opportunity to remortgage is looming but I'm having trouble understanding the costs (If any) with regards to Solicitor & Conveyancing fees?
I'm not moving home I'm just looking to change who I have my mortgage with.
I'm currently with Halifax, and until 1st Jan 2012 I'm on 2.79% Tracker, then it will automatically go onto their Halifax Standard Variable Rate of 3.99%. The best they can offer me is a No Fee 2 year fixed for 3.54% (Which means I'm paying an extra £51.58 pcm).
So if I move my mortgage to another bank do I have to have someone come in and inspect my property again and pay a solicitor etc?

It just doesnt sound right to me.

Thanks

latecomer

You need to have a valuation done of the house for the new lender and get someone to do the legal paperwork. Some lenders provide this service free, others do not.

holly_hobby

If you change lender but don't move, this is called a remortgage.

The new lender will want to obtain a valuation on the property - be that remotely (ie desktop, driveby etc) or with the actual attendance and inspection by their instructed surveyor.

There are various fee free remortage packages about, whereby the costs of the legals (basic tsf of title) and survey absorbed by the lender.

However, as they saying does, "you don't get nothing for nothing" - if you are really rate driven and can absorb the costs yourself which will be circa £450+ (and assuming that you will meet criteria of all lenders), make sure you compare the best fee free deal against those alternative deals that do have fees - as even with fess, the differential payrate between the comparible 2, over the term can still save you interest.

You may want to do the leg work yourself, or employ a whole of market broker to take the strain and time reqd in sourcing the best deal available in the current market.

Hope this helps

Holly

coffee_king

When they say "Fee Free" does this mean Solicitors /Conveyancing Fees are included then or just "Setting up" the mortgage is free?When I took out my mortgage initially there was a £245 set up for for that mortgage but I still have to pay solicitors/conveyancing fees etc.
Ta

holly_hobby

Fee free relates as I say to the simple conveyencing and survey for the remortgage, and may also include no mge product fee.

Hope this helps

Holly

holly_hobby

coffee_king wrote: »

When they say "Fee Free" does this mean Solicitors /Conveyancing Fees are included then or just "Setting up" the mortgage is free?When I took out my mortgage initially there was a £245 set up for for that mortgage but I still have to pay solicitors/conveyancing fees etc.
Ta

This was not a fee free remortgage deal then.

Hope this helps

Holly

coffee_king

Sorry, I didnt mean my initial mortgage deal was fee free. I'm just trying to understand what "Fee Free" means here?

holly_hobby

As I say, basic tsf of title and simple lender switch is essentially what the free legals refers to.

Any additional legals applicable with regards transfer of equity (ie - addition or removal of a party), equity release, issues with the title deeds, etc, may be at your additional cost as decided by the lender - as will be any applicable mortgage product fee for the product chosen.

As I said earlier, a fee free deal, may not necessarily be the most cost effective overall, so ensure you explore the options before making your selection.

Hope this helps

Holly

coffee_king

So Fee Free does or does not include Solicitors /Conveyancing Fees?

coffee_king

BTW I understand costs effectiveness etc

holly_hobby

coffee_king wrote: »

So Fee Free does or does not include Solicitors /Conveyancing Fees?

can't be any clearer yes it does, but only for the tsf itself.

H