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Mortgage fees increase 27% in three years

The average mortgage fee has increased by over £300 in the last three years, shows the latest figures from Moneyfacts.

Its research shows that although residential mortgage rates have continued to fall in most cases compared to three years ago, mortgage fees are the highest since Moneyfacts records began over two decades ago.

The average mortgage fee is now £1,502, compared to £1,181 in 2009.

  March 2009 Today Difference
Number of mortgages 1,452 2,612 +1,160
Number of mortgages (90% LTV) 89 301 +212
Number of mortgages (85% LTV) 169 452 +283
Number of mortgages (75% LTV) 429 670 +241
Number of mortgages (60% LTV) 272 392 +120
Average 2 year fixed rate 4.79% 4.60% -0.19%
Average 5 year fixed rate 5.62% 4.82% -0.80%
Average 2 year tracker rate 3.54% 3.62% +0.08%
Average lifetime tracker rate 3.95% 3.71% -0.24%
Average mortgage fee £1,181 £1,502 +£321
Average credit card rate 17.7% 18.6% +0.9%
Average loan rate (£10,000) 9.5% 8.0% -1.5%
Average authorised overdraft rate 13.61% 15.25% +1.64%
Source: 2.4.12


A spokeswoman for, says: “Over the last three years mortgage choice has almost doubled, which will be good news to prospective borrowers.

“While the number of mortgage deals has increased, fees are at their highest since Moneyfacts records began, so consumers need to check the true cost of any mortgage offer.”


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  • Anon 11th April 2012 at 4:06 pm

    Why does this article focus on the negative aspect of fee’s???

    Why not on the positives, mortgages at 90% LTV gone from 89 in 2009 to 301 at present! This is fantastic news and is a definite step in the right direction!

    So what if you have to pay a slightly higher fee, as the survey shows your rate will be lower so you’ll probably be saving money in smaller payments!

    If the media stopped all the doom and gloom and focused more on the positives we’d be out of this hole we are currently in a lot quicker!

    Think positive and positive things will happen!