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Are mortgage arrangement fees worth paying?

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In short: High fees suit large loans where a lower rate saves more than the fee; small mortgages often beat fee-free higher-rate products.

Last reviewed:

Reviewed by Kaiser Khan

Add the fee to the borrowed amount or pay upfront — both affect true cost.

Free valuation and legals on remortgage reduce switching costs.

Cashback deals need net cost comparison over the fix period.

See compare mortgage deals guide.

Primary source: fca.org.uk/consumers/mortgages

Part of our Mortgages & first homes

This quick answer sits inside our wider mortgages & first homes hub — with sub-guides, calculators and step-by-step explainers on the same topic.

Read the full mortgages & first homes guide

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