When comparing mortgage deals, too many people look only at the interest rate. A product at 3.89% with a 1,500 pound fee often costs more over two years than a 4.14% deal with no fee at all, especially on smaller loan amounts.\n\nArrangement Fees — Also called product fees or completion fees. Typically between zero and 1,999 pounds. You can pay upfront or add it to the loan (but then you pay interest on the fee for the entire mortgage term). On a 200,000 pound mortgage at 4%, adding a 999 pound fee to the balance costs an extra 1,600 pounds over 25 years in interest alone.\n\nValuation Fees — The lender needs to confirm the property is worth what you are paying. Basic valuations are often free. If you want a homebuyers report or full structural survey, that is a separate cost. Expect 300 to 600 pounds for a homebuyers report and 500 to 1,500 for a full structural, depending on the property size.\n\nLegal and Conveyancing Fees — Your solicitor handles searches, contracts, and the transfer of ownership. Budget 1,000 to 2,000 pounds for a straightforward purchase, more for leasehold properties or complex transactions. Many remortgage products include free legal work as an incentive.\n\nBroker Fees — Some mortgage brokers charge a fee (typically 300 to 500 pounds), while others work on commission from the lender only. Fee-free brokers like L&C and Habito earn their money from the lender, not from you. Always ask upfront.\n\nThe Total Cost Calculation — The only fair way to compare two mortgage deals is to add up every payment you will make during the product period plus all fees. Our Compare Two Deals calculator does exactly this. A 0.25% rate difference on a 300,000 mortgage equals roughly 625 pounds per year, so a product with a 1,500 pound fee needs to beat the fee-free deal by at least 0.25% to break even over two years.