UK Mortgage Fees Calculator
Calculate all UK mortgage fees including arrangement, valuation, broker, and legal costs. See the true cost of adding fees to your loan, compare fee-free versus fee-bearing deals, and decide whether a product transfer or full remortgage is cheaper when your deal ends. All figures in GBP.
£
£
£
£
£
%
years
Total Mortgage Fees
£2,099
0.84% of loan amount | Monthly payment: £1,347/mo
Arrangement: $999
Valuation: $300
Legal: $800
Pay Fees Upfront
£2,099
No extra interest
Add Arrangement Fee to Loan
+£616
Extra interest over 25yr term
Monthly (fee added to loan)
£1,353/mo
vs £1,347/mo upfront
Fees as % of Loan
0.84%
Market average: 0.5–1.0%
Advanced
All UK Mortgage Fee Types & Adding Fees to Loan
Full fee breakdown, interest cost of adding arrangement fee, fee-free vs fee-bearing comparison
UK mortgages can carry up to six distinct fee types. Understanding each helps you compare deals accurately and negotiate where possible.
£
£
Arrangement / Product Fee
The main mortgage fee. Lower rate deals often have higher fees. Can be added to loan.
Typical: £999 | Range: £0–£2,000
Can add to loan
Booking / Application Fee
Paid upfront on application. Non-refundable. Some lenders have eliminated this.
Typical: £0 | Range: £0–£250
Upfront only
Valuation Fee
Lender assesses property value. Many remortgage deals offer free valuation. Must be paid upfront.
Typical: £300 | Range: £0–£1,500
Upfront only
Broker Fee
Fee-free brokers are paid by the lender via procuration fee. Fee brokers charge £300–£1,000. Negotiable.
Typical: £0 (fee-free brokers) | Range: £0–£1,000
Upfront only
Legal / Conveyancing Fee
Solicitor handles the legal transfer. Remortgage legals lower than purchase. Some deals include free legals.
Typical: £800 | Range: £300–£1,800
Upfront only
Product Transfer Fee
For staying with same lender on a new deal. Far cheaper than a full remortgage.
Typical: £0 | Range: £0–£250
Upfront only
Pro
True Cost of Mortgage, Negotiating Fees & Product Transfer vs Remortgage
Total cost including all fees over deal period, fee negotiation tips, PT vs full remortgage decision
The only number that truly matters when comparing UK mortgage deals is the total cost over the deal period — all interest payments plus all fees, minus any cashback. Everything else is a partial picture.
years
Interest Over 2 Years
£0
Approximate — depends on amortisation
All Fees
£2,099
Arrangement + valuation + broker + legal
True 2-Year Cost
£34,436
Payments + all fees over deal period
Use this number to compare: When your broker or comparison site shows you multiple deals, ask for the total cost over your planned hold period including all fees. A deal that looks cheapest by rate alone may not be cheapest when fees are factored in. This is the APRC concept but applied to your actual hold period rather than the full mortgage term.
How to Use This UK Mortgage Fees Calculator
Enter your mortgage amount and the individual fees you have been quoted — arrangement fee, valuation fee, broker fee, and legal fee. The calculator shows your total fees, fees as a percentage of the loan, and crucially the extra interest cost of adding your arrangement fee to the loan rather than paying it upfront.
Why Fees Matter as Much as the Rate
- True cost comparison: A low rate with high fees can cost more than a slightly higher rate with no fees
- Adding fees to loan: Convenient, but you pay interest on those fees for the full term — a £2,000 fee at 4.5% over 25 years costs over £2,800 total
- Fee-free deals: Exist but typically carry a 0.2–0.5% higher rate — use the calculator to see if this is worth it
- Negotiable fees: Broker and legal fees can often be negotiated; arrangement fees generally cannot
All UK Mortgage Fees Explained
Arrangement / Product Fee: £0–£2,000
→ The main deal fee. Lower rate deals often charge higher fees. Can be added to loan.
Booking / Application Fee: £0–£250
→ Paid on application. Non-refundable if you withdraw. Upfront only.
Valuation Fee: £0–£1,500
→ Lender values the property. Free on many remortgage deals. Upfront only.
Broker Fee: £0–£1,000
→ Many brokers are fee-free (paid by lenders). Fee brokers charge £300–£1,000. Negotiable.
Legal / Conveyancing: £300–£1,800
→ Remortgage: £300–£800. Purchase: £800–£1,800. Some deals include free legals.
Product Transfer Fee: £0–£250
→ For staying with same lender — far cheaper than full remortgage.
→ The main deal fee. Lower rate deals often charge higher fees. Can be added to loan.
Booking / Application Fee: £0–£250
→ Paid on application. Non-refundable if you withdraw. Upfront only.
Valuation Fee: £0–£1,500
→ Lender values the property. Free on many remortgage deals. Upfront only.
Broker Fee: £0–£1,000
→ Many brokers are fee-free (paid by lenders). Fee brokers charge £300–£1,000. Negotiable.
Legal / Conveyancing: £300–£1,800
→ Remortgage: £300–£800. Purchase: £800–£1,800. Some deals include free legals.
Product Transfer Fee: £0–£250
→ For staying with same lender — far cheaper than full remortgage.
The Cost of Adding Fees to Your Mortgage
The arrangement fee is the only UK mortgage fee that can typically be added to the loan balance. This is convenient if you are cash-constrained at completion, but it is significantly more expensive over the full term.
Example: £999 arrangement fee on a £200,000 mortgage at 4.5%, 25-year term
| Option | Fee Payment | Monthly Payment | Total Interest on Fee | True Fee Cost |
|---|---|---|---|---|
| Pay upfront | £999 at completion | £1,112/mo | £0 | £999 |
| Add to loan | Loan: £200,999 | £1,118/mo | +£1,200 over 25yr | £2,199 |
| Extra cost of adding | +£1,200 in interest | +120% more expensive | ||
The rule: pay fees upfront where possible. Only add to the loan if you genuinely cannot afford the upfront payment at completion.
Product Transfer vs Full Remortgage
When your deal ends, the two options are a product transfer (staying with your current lender) or a remortgage (switching to a new lender). Product transfers have become increasingly popular because they are cheaper and faster.
Product Transfer vs Remortgage comparison
| Feature | Product Transfer | Remortgage |
|---|---|---|
| Arrangement fee | Often £0 | £0–£2,000 |
| Valuation needed | Usually no | Yes (or free with deal) |
| Legal work | None | Required (or free with deal) |
| Credit check | Soft or none | Full credit check |
| Process time | Days | 4–8 weeks |
| Rate access | Your lender only | Full market |
| Best if | Rate difference <0.2% | Saving > £2,000 over deal period |
Frequently Asked Questions
Pay it upfront where possible. Adding a £999 fee to a £200,000 mortgage at 4.5% over 25 years costs an extra £1,200 in interest — making the total true cost of the fee over £2,199 instead of £999. Adding the fee only makes sense if you are genuinely cash-constrained at completion and the alternative is putting the fee on a high-interest credit card or overdraft.
Yes — broker fees are negotiable. Many brokers are entirely fee-free, meaning they are paid by the lender via a procuration fee when your mortgage completes. Fee-charging brokers typically charge £300–£1,000. For straightforward remortgage or purchase cases, you should always ask if the broker is fee-free before assuming a charge applies. For complex cases (self-employed, adverse credit, unusual property types), a fee-charging specialist broker may be worth paying for their expertise.
For a standard UK remortgage with a fee deal: arrangement fee £999, valuation £0 (free with deal), broker £0 (fee-free), legal £500 (or free with deal) = total approximately £999–£1,500. For a purchase mortgage: arrangement £999, valuation £300, broker £0, legal £1,000 = total approximately £1,300–£2,300. Some deals with higher rates but no fees can reduce total costs to near zero — use the calculator to compare.
Compare the rate difference against the fee difference. If your lender's product transfer rate is within 0.2% of the best available remortgage rate, the product transfer often wins on total cost because the lower fees (typically £0 vs £1,000–£2,000 for remortgage) outweigh the rate difference over a 2-year deal period. If the remortgage rate is 0.3% or more better, the remortgage likely wins — especially on larger loan amounts.
Yes, but only if the rate is also competitive. A deal with free valuation (£300 saving) and free legals (£500 saving) but a 0.3% higher rate on a £250,000 mortgage over 5 years costs approximately £3,750 more in interest — far outweighing the £800 fee saving. Always compare the total 5-year cost (interest + fees) rather than celebrating free incentives without checking the rate.