Britons looking to either get onto or take a step up the property ladder have been dealt a fresh blow after a new study found that the number of fixed mortgages with high fees has soared by more than 1,000 per cent in under two years.

While the number of mortgage products coming with application fees of £750 or above stood at just 22 in September 2006, the figure is now 223, equivalent to a rise of around 1,200 per cent.

This is likely to mean that growing numbers of people will be unable to obtain a loan and move into a larger property, with many therefore turning to storage solutions to keep their possessions.

Sean Gardner, director of the website MoneyExpert,com, which carried out the study, said: "Such high mortgage application fees will come as something of a shock to many homebuyers. We're just not used to these levels of charge.

"Anyone looking to remortgage or to buy a property for the first time will need to recalculate their options if they haven't factored in fees."

Those bogged down with possessions until they can afford a bigger home should look into secure storage as a short-term solution.


© Adfero Ltd