First time remortgaging - do you pay fees if you stay with the same provider?

Kristoff77

Hi there, I'm coming to the end of my first 5 year fixed rate morgage term the end of April 2022 with Natwest. I have 20 years left. I'm wondering what the process is then as my current rate will turn into a variable rate. I noticed on the natwest site I can change my mortgage to a new deal 6 months earlier so I presume the end of October. When I got this mortgage I had to pay a product fee of almost a grand and valuation and chapps fee too. Would I have to pay these again if I stayed with Natwest or is that just if you switch to a new supplier? I'm not sure how it works? If people who get 2 year morgage deals have to pay 1000k every 2 years then that seems very expensive.

K_S

@kristoff77 Assuming your fixed rate ends on 30-Apr, you should be able to see your product-switch options on 1st Nov. 

As you can see below, you may have multiple options available to you, some with a product-fee, some without. You don't have to choose one with a product fee, but the larger your mortgage, the more likely it is that a with-fee option will be cheaper on an overall cost basis over the fixed period as the interest rate on a fee-free option will be higher than the interest rate on a with-fee option.

Kristoff77 said:

Hi there, I'm coming to the end of my first 5 year fixed rate morgage term the end of April 2022 with Natwest. I have 20 years left. I'm wondering what the process is then as my current rate will turn into a variable rate. I noticed on the natwest site I can change my mortgage to a new deal 6 months earlier so I presume the end of October. When I got this mortgage I had to pay a product fee of almost a grand and valuation and chapps fee too. Would I have to pay these again if I stayed with Natwest or is that just if you switch to a new supplier? I'm not sure how it works? If people who get 2 year morgage deals have to pay 1000k every 2 years then that seems very expensive.

Kristoff77

That's interesting, so it could be worth saving up a grand as an option to pay it off straight away as adding it to the loan would mean I'll pay interest on that too. So if I switched on 1st November would mu new rate start when my current fix ends on 1st May or would it start on 1st November? I'm unsure whether to do a 2 or 5 year fix aswell