HSBC mortgage

adonis10

Just wondering if anyone has recently had a similar mortgage with HSBC and can confirm what fees they charge? I have the mortgage meeting tomorrow but I'm impatient so would like to know!


Fixed rate, 5 years. Fees appear to be £263 valuation fee, £749 arrangement fee, £30 completion fee. Anything else?

Spangled

Legal fees?

adonis10

Spangled wrote: »

Legal fees?

What for?


I already have a solicitor dealing with the purchase so assumed that would be all the legal fees to pay.

dgtazzman

HSBC have various products. I've gone for one of their fee free products. I will pay nothing upfront, but will end up paying GBP 17 a month more than if I paid fees similar to the ones you are listing.

17 x 12 x 5 = 1020

So instead of paying the fees upfront, I'll be spreading them over 5 years and don't run the risk of losing the upfront fees if things fall through, hence why I went for the fee free product. At the end of the day, it costs the same and there is less risk of losing a grand.

P.S. Is your sols on HSBC's approved board, if not, you will have to pay HSBC an extra GBP 295.

adonis10

dgtazzman wrote: »

HSBC have various products. I've gone for one of their fee free products. I will pay nothing upfront, but will end up paying GBP 17 a month more than if I paid fees similar to the ones you are listing.

17 x 12 x 5 = 1020

So instead of paying the fees upfront, I'll be spreading them over 5 years and don't run the risk of losing the upfront fees if things fall through, hence why I went for the fee free product. At the end of the day, it costs the same and there is less risk of losing a grand.

P.S. Is your sols on HSBC's approved board, if not, you will have to pay HSBC an extra GBP 295.

I will see how this option works out for us as, you're correct, it'd be such a waste if it fell through.


If you pay the fee and it falls through, do they not keep the offer open for a certain period for another house? Do you know when the mortgage fee has to be paid - once it is approved or once it is advanced?

dgtazzman

Ask them. Valuation fee is probably taken upfront, the rest might well be due on completion.

Thrugelmir

adonis10 wrote: »

What for?


I already have a solicitor dealing with the purchase so assumed that would be all the legal fees to pay.

Is the solicitor on HSBC's approved panel list?

adonis10

Thrugelmir wrote: »

Is the solicitor on HSBC's approved panel list?

I hope so because we've already paid them £300. Probably should have checked that before going ahead.

adonis10

I asked the mortgage advisor whether the interest is front loaded but he didn't really answer, so obviously will probe again before signing.

Do most mortgages accrue interest on the daily balance or is it front loaded? Basically, if the loan is 150k and on day 1 I make a 15k overpayment I would assume that, whilst repayments remain the same for the fixed period, the total interest should be the same as it would be for a 135k mortgage. Obviously this is all hypothetical, but interested to hear others' thoughts.