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Remortgage BTL quote - arrangement fee of 10k!
missb_4
Posts: 18 Forumite
Hello,
The mortgage broker has come back with a quote for remortgaging our property - currently being rented out so it's a BTL mortgage. Unfortunately need to take equity out to put towards a deposit (living in rented accommodation atm). Broker has come back with a quote with a £10k arrangement fee (from the lender, not him). Could someone confirm this is normal as it seems very high?
Details are:
5 Year fixed
3.79%
Value: £460,000
Loan: £337,000
Term: 25 years interest only
Many thanks.
The mortgage broker has come back with a quote for remortgaging our property - currently being rented out so it's a BTL mortgage. Unfortunately need to take equity out to put towards a deposit (living in rented accommodation atm). Broker has come back with a quote with a £10k arrangement fee (from the lender, not him). Could someone confirm this is normal as it seems very high?
Details are:
5 Year fixed
3.79%
Value: £460,000
Loan: £337,000
Term: 25 years interest only
Many thanks.
0
Comments
-
£10k fee for this scenario (74% LTV, interest only, BTL) is completely normal1
-
Oh that's good to know thanks for that!
0 -
That's why the rate is so low, but as your loan is very high it's probably the cheapest option for you.
1 -
5 Year fixed 3.79%
That's highly competitive rate. The high product fee is a means by which the lender is able to target a particular segment of the market1 -
Thanks so much for taking the time to comment everyone - it's so helpful!0
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