The list
| Cost | Typical | Notes |
|---|---|---|
| Arrangement (product) fee | £0 to 3% of the loan; 5% to 7% on some very low-rate deals | Can usually be added to the loan. Percentage fees favour small loans; fixed fees favour large ones. |
| Valuation | £0 to £500 | Often free on remortgages. HMOs and multi-unit blocks cost more because a commercial-style valuation is needed. |
| Legal work | £0 to £1,000 | Free legals or cashback are common on remortgages to a new lender. Limited-company cases usually cost more and may need independent legal advice for directors. |
| Broker fee | £0 to £999, sometimes 0.5% to 1% on complex or portfolio cases | Payable on completion. Must be disclosed before you commit. |
| Early repayment charge on the current deal | 1% to 5% of the balance | Only if you leave before the deal ends. Time completion for the day after. |
| Exit / deeds release fee | £0 to £300 | Charged by the lender you are leaving. |
| Telegraphic transfer fee | £20 to £50 |
Fee versus rate
Buy-to-let lenders often offer the same product at several fee levels: a higher rate with no fee, a lower rate with a 2% fee, a lower rate still with 5%. Which is cheapest depends on your loan size and how long you hold the deal:
- Small loan (under £100,000): percentage fees hurt. The no-fee or fixed-fee option often wins even at a higher rate.
- Large loan (£250,000+): a percentage fee is a big number, but the rate saving on a big balance is bigger. Run the sum.
- Short deal: less time to recover a fee. Fees matter more on 2-year deals than 5-year.
- Adding the fee to the loan: convenient, but you pay interest on it for the whole term and it raises your loan-to-value, which can move you into a worse rate band.
The switching calculator lets you put two deals side by side with their fees.
Tax treatment
For individual landlords, mortgage interest and arrangement fees are no longer deductible from rental profit; instead you get a 20% tax credit on them (the "Section 24" rules). Broker and legal fees for a remortgage are generally treated the same way as interest for this purpose. For a limited company, interest and fees are deductible expenses against corporation tax. Limited company guide. Check with an accountant; this changes.
Costs that are not the lender's
- Safety certificates a lender may ask for: gas safety (£60 to £100), EICR (£150 to £300), EPC (£60 to £120).
- Licensing, for HMOs and in selective licensing areas: £500 to £1,500 for five years, council-dependent.
- An accountant's letter or company accounts for limited-company cases.
A note on the numbers. Rental cover ratios, stress rates, loan-to-value limits and fees are typical of the market at the time of writing (2026) and differ from lender to lender. Tax rules are for individuals and companies resident in the UK and change with each Budget. This is general information, not advice: a broker will tell you what applies to your property, and an accountant what applies to your tax.
Common questions
Why are buy-to-let fees so high?
Lenders use fees to offer a lower headline rate, and buy-to-let borrowers, who are assessed on rent, often prefer a lower monthly figure so the rental cover test passes. A 3% fee for a lower rate can genuinely be the cheaper option on a large loan.
Are there fee-free buy-to-let remortgages?
Yes, at a higher rate. On a small loan they are often the best value. On a large loan, rarely.
Can I claim remortgage costs against tax?
Individuals get a 20% tax credit on interest and finance costs rather than a deduction. Companies deduct them in full. An accountant will confirm the treatment of each item.
Your deal is ending. Let's get a broker on it.
Two minutes of questions about the property. We match you with a buy-to-let specialist who calls you back, usually within one working day. Free, no obligation.