View more on these topics

Mortgage fees leap by 27%

The average mortgage fee has increased by 27 per cent to £1,502 in the last three years, according to

Its research shows although most residential mortgage rates have continued to fall in most cases from three years ago, fees are the highest since Moneyfacts’ records began over 20 years ago. The average fee is now £1,502 compared with £1,181 in March 2009.

The research shows there are 2,612 products on the market compared with 1,452 in March 2009, a rise of 80 per cent.

The number of 90 per cent loan-to-value products has risen by 238 per cent from 89 in March 2009 to 301. The number of 85 per cent products increased from 169 to 452, up by 167 per cent, while 75 per cent LTVs rose by 56 per cent from 429 to 670.

On average, two-year fixed rates have fallen from 4.79 per cent to 4.6 per cent and five-year fixed rates have fallen from 5.62 to 4.82 per cent.

Two-year trackers are up slightly from 3.54 per cent to 3.62 per cent while lifetime trackers have fallen from 3.95 per cent to 3.71 per cent.

A spokeswoman says: “The number of mortgage deals has increased but fees are at their highest since our records began, so consumers need to check the true cost of any mortgage offer.”

Emba group sales and marketing director Mike Fitzgerald says: “I think the FSA should look at this because it looks as though lenders are increasing their fees just to make some easy cash.”


FE Adviser Fund Index

The debate over the appropriateness of structured products continues but, with the RDR looming, will it force a conclusion? One of the central points of discussion, and confusion, among the adviser community has been what the technical requirements of “whole of market knowledge” will require. The FSA’s own definition does appear to leave some room […]


FOS upholds two Keydata complaints against IFAs

The Financial Ombudsman Service has provisionally upheld two complaints against IFAs who recommended clients invest in Keydata products, but has only awarded compensation in one case. The Financial Services Compensation Scheme had previously rejected claims in both cases as it said the losses were caused by the misappropriation of SLS assets, which issued the bonds […]


Whitechurch ditches restricted plan

The Whitechurch Network now intends to remain fully independent after the RDR, despite previous plans to offer a restricted service. Managing director Ian McIver says the company believes the new independence requirements are less onerous than it had previously feared. The network has around 180 advisers, including 30 mortgage and general insurance advisers, with 90 […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm