halfway through 5yr BTL at 5.74% int. remortgage with same company - fees?

snickpan

I'd like to be up to speed before I start approaching people:
I'm halfway through a £125000 BTL at 5.74%, with a ERC of 3%. with Kent Reliance.
They now do a similar product at 4.3%, which could save me nearly £300 a month.
If I ask to go on to that one, would they insist on the 3% ERC, even if I'm staying with Kent?
I realise there'd still be admin and arrangement fees.

Also, if I arranged it myself, would I save the fee that my broker would normally get, or does it still end up with the same figures from my point of view?  Wouldn't want my broker to miss out on some commission, if it wouldn't affect my finances.

ACG

Yes they will want the ERC. 

No, the commission a broker gets is not something you pay directly or indirectly. For Kent reliance to generate the business, verify the customer fits criteria, getting the document together etc etc, Kent pay brokers a fee as it saves their people doing as much work. 

snickpan

ah, so may as well get the broker to do it

Yorkie1

I don't know what KR's practice is, but it might be worth double checking that they will actually allow you to take a new product with them, even if you pay the ERC.

I believe it's possible for some providers to refuse to provide another product immediately in these circumstances.

amnblog

Don't confuse the Lender's range for new borrowers with their range for existing borrowers.

Also check product fees - For existing borrowers the lowest rate I can see is a 4.24% with 3% product fee, one year fixed.

They do a 4.36% 5 year fixed for new borrowers this carries a 7% product fee.