Moving to a new house is an expensive business; all too often, people don’t factor in each and every cost. Let’s take a look at six expenses associated with a house move to help you budget for one of life’s biggest events.
Before you start
Before the sale board goes up, you need to be sure that you have enough money for stamp duty (use an online calculator to work this out), the deposit, the valuation fee, the surveyor’s fee – and that’s just to start! Make sure you are happy with your choice of solicitor – whether you are using conveyancing solicitors Guildford or Godalming, you will be in regular contact throughout the process and will be relying on them to guide you along the house moving journey.
Stamp duty
In essence, this is a government tax applied to all houses costing £125,001 and over. Remember that you are exempt from stamp duty on the first £300,000 on a property worth up to £500,000 if you are a first-time buyer.
The deposit
The average cost of a deposit is between five and twenty per cent of the cost of the house. In general terms, the more you put down, the more likely you are to find a mortgage with a lower interest rate. The finances can be a minefield when purchasing a new home, so our advice is to do your research and make sure your estate agent, mortgage provider and your solicitor – there are many to choose from, such as https://www.samconveyancing.co.uk/conveyancing-solicitors/conveyancing-solicitors-Guildford – can offer you excellent and reputable advice.
The valuation fee
It is the mortgage lender’s responsibility to value the property to ascertain how much it will lend you; however, you may have to cover the cost.
The surveyor’s fee
You should always have a survey on the property you are potentially buying, as this will highlight any possible problems and help you to decide whether to continue with the purchase. Prepare yourself for a cost of £600 upwards if you want a full structural survey.
Legal fees
The legal work associated with moving to a new house is undertaken by a conveyancer and costs in the region of £850 to £1,500 plus VAT.
Estate agent’s fees
The estate agent’s fees can be fixed or a percentage of the sale price.
