Commercial mortgage fees
Take a look at the tariff of fees for commercial mortgages. For use by commercial intermediaries only.
Loan assessment and set up
| What we’ll charge for | What the charge covers | How much we’ll charge | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Arrangement fee |
Atom’s arrangement fee covers the onboarding and completion of your application and 1.50% of the arrangement fee is paid to your intermediary as a procuration fee for submitting the application on your behalf. Atom retains the remaining 0.50% of the arrangement fee. This fee is calculated as a percentage of your loan amount. Typically this is deducted from the monies received upon completion but if preferred, this fee can also be paid upfront. The procuration fee of 1.50% is paid to your intermediary within 7 days of your loan completing. |
2.00%* for applications received from 8th January 2024 onwards. Up to 1.50% for applications received prior to 8th January 2024. |
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| Legal work | There’s always some legal work involved in processing your loan and because it varies from case to case, we’re not able to offer set prices. We’ll obtain quotes and you can then choose who you want us to use. We add no additional charge on to the quotes we get for you. | £variable | ||||||||||||
| Commercial valuation |
Valuation costs are bespoke and determined by property type, location and other factors. See Table 1 below for estimated costs for valuations up to £1m.
|
£tiered | ||||||||||||
| Cancelled Valuations | Where any valuation is cancelled, a cancellation fee may apply. | Up to 100% of the valuation fee, depending on the timing of notification and the valuers’ policy. |
*Existing customers refinancing with Atom at the end of their commitment period will be charged an arrangement fee of 1.00%. Further detail can be found in section 2 ‘Managing your loan’ of the price list.
Managing your loan
| What we’ll charge for | What the charge covers | How much we’ll charge | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Arrangement fee End-Of-Term (EOT) |
Existing customers refinancing existing Atom debt at the end of their commitment period will be charged an arrangement fee of 1.00% when the application is submitted by a broker. This arrangement fee covers the onboarding and completion of your application. This fee is calculated as a percentage of your loan amount. Typically, this is added to the new balance upon completion but if preferred, this fee can also be paid upfront. A procuration fee of 1.00% is paid to your intermediary within 7 days of your loan completing. |
1.00% | ||||||||||||
| Arrangement fee mid-term refinance |
Existing customers refinancing existing Atom debt at least 12 months before the end of their commitment period will be charged an arrangement fee of 2.00% when the application is submitted by a broker. This arrangement fee covers the onboarding and completion of your application. This fee is calculated as a percentage of your loan amount. Typically, this is added to the new balance upon completion but if preferred, this fee can also be paid upfront. A procuration fee of 1.50% is paid to your intermediary within 7 days of your loan completing. This is in addition to any applicable ERCs. |
2.00% | ||||||||||||
| Consent to Lease | Covers the time and cost for us to assess a request to lease your property. There will also be legal work needed to set up and approve a new lease. | £160 + legal costs (at cost) | ||||||||||||
| Other legal work (e.g. Deed of Permission or Deed of Variation) | If we need any additional legal work to be carried out once your loan is set up, this covers the time and cost for us to assess the situation and a cost for the additional legal work. | £160 + legal costs (at cost) | ||||||||||||
| Audit letter | Covers our time and costs to provide a letter to your accountant for audit purposes. | £39 (inclusive of VAT) | ||||||||||||
| Lender questionnaire | Covers the time it takes for us to prepare and complete detailed answers for another lender, where you’ve applied for borrowing from them. | £77 (inclusive of VAT) | ||||||||||||
|
Business Buy To Let (BTL) Standard Variable Rate (SVR) |
What the charge covers: This is the Standard Variable Rate that you will move onto after your fixed term period ends. Once this fixed term period ends, the interest rate that will be applicable to your loan will be the Business BTL SVR. This interest rate is a managed rate that can go up or down at any time, which means your contractual payments may also go up or down. |
Atom’s Business BTL SVR is currently 6.99% |
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| Release of security | Covers the time and cost to release our security over your assets. We’ll charge this each time you ask us to release our security over one or more assets. In limited circumstances, we may need to instruct a solicitor and you would be responsible for these costs. | £58 (inclusive of VAT) | ||||||||||||
| Commercial Valuation |
Throughout the life of your loan, there are some circumstances where
we may require a new valuation to be carried out — for example, if
market conditions change, you breach your terms and conditions or if
we have grounds to believe a default event has occurred. We will never
ask for a new valuation to be carried out on a property more than once
per calendar year unless we have reasonable grounds to believe a default
event has occurred or shall occur. Valuations costs are bespoke and
determined by property type, location and other factors. See Table 1
below for estimated costs for valuations up to £1m.
|
£tiered | ||||||||||||
| Early repayment charges (ERCs) for Fixed Rate loans |
Where you have a fixed rate product and decide to repay your loan, in whole or in part, prior to the final agreement date, an ERC may be payable. The amount of ERC is calculated as a percentage of the early repayment being made in excess of the early repayment allowance (10% of the outstanding balance, as calculated on the first day of the repayment year, in any repayment year). |
See Table 4 for percentages based on tenor. | ||||||||||||
| We don’t charge you for the following: duplicate statements; provision of a lender’s reference; Data Subject Access Request. | ||||||||||||||
Financial difficulties
| What we’ll charge for | What the charge covers | How much we’ll charge |
|---|---|---|
| Payment of service charge / ground rent | If you’re unable to pay your ground rent or service charge, we may pay it to protect our assets. This charge covers the time it takes us to do this. We’ll add any ground rent or service charges that we have to pay to your outstanding balance and interest will be charged on this amount at the same rate as your loan. Interest will not be charged on the £41 fee. | £41 |
| Agent home visit | If you find yourself in financial difficulties or arrears, we may instruct a 3rd party agent to assess your circumstances and look at the best repayment option. The cost of this service depends on the 3rd party; we don’t add any additional charge. This will be added to your account after the home visit has taken place. | Up to £120+ VAT per customer/property visit |
| Appointing a receiver | If we need to appoint a Receiver under the Law of Property Act, we’ll pay their costs and then pass them onto you. Costs will vary depending on the property type and your circumstances. | £variable |
| Litigation & recovery action | Covers the costs should we, as a last resort, have to commence litigation action. This will include instructing solicitors to either appoint receivers or issue court proceedings to repossess any security. This will be added to the outstanding amount that you owe. | £variable |
| Repossession and asset management | Covers the cost for an asset manager to take possession of your assets, as well as the cost of insuring any repossessed assets and the costs of the asset manager to carry out work on our behalf, for example valuing and managing the sale of an asset. This also covers the costs of selling an asset following repossession. All costs will be added to the outstanding amount that you owe. | £variable |
Early repayment charges for fixed rate loans
| ERCs | 1 Year | 2 Year | 3 Year | 4 Year | 5 Year | 6 Year | 7 Year | 8 Year | 9 Year | 10 Year |
|---|---|---|---|---|---|---|---|---|---|---|
| 2 Year Fixed | 2.5% | 2.0% | ||||||||
| 3 Year Fixed | 3.0% | 3.0% | 2.0% | |||||||
| 4 Year Fixed | 4.0% | 4.0% | 3.5% | 2.5% | ||||||
| 5 Year Fixed | 5.0% | 5.0% | 4.5% | 4.0% | 2.5% | |||||
| 6 Year Fixed | 6.0% | 6.0% | 5.5% | 5.0% | 4.0% | 2.5% | ||||
| 7 Year Fixed | 7.0% | 7.0% | 6.0% | 6.0% | 5.0% | 4.0% | 3.0% |
Effective from 11th November 2024