Thinking of moving? Here’s what to consider when buying…
Moving home is an exciting time. From browsing for your perfect property to putting in an offer and then collecting the keys on completion day, there is a lot to get excited about. There is also a lot to consider when buying, especially when it comes to the cost. If you’re looking to buy in the near future these are some of the key details that you need to think about.
The costs of your mortgage
Many people identify the interest you’ll pay on the mortgage as the major cost. Although this is an important element it’s not factored into a move budget. One fee that you may have to include in your budget is the mortgage fee. Most mortgage fees are around £1,000 – you can usually choose to pay this up front or integrate it into the mortgage.
These are the fees for all the legal and administrative work involved in transferring ownership of a property. You can instruct a solicitor or work with a conveyancer – the latter is usually cheaper. The legal fees for a solicitor will usually be somewhere between £600 and £1,000.
Do you need a survey?
It’s usually a good idea to ensure that you get a survey of any property that you’re going to purchase. However, the type of survey required will depend on the property. For an older property you will need to consider a more extensive survey. Most surveys tend to come in at around £500 - £700. It’s worth bearing in mind that even if the purchase falls through after the survey has been carried out you will still have to cover the cost of paying for it.
Where do you stand in terms of stamp duty?
Currently, first time buyers don’t have to pay stamp duty on the first £300,000 of any home costing up to £500,000. If you’re not a first time buyer or you’re buying a more expensive property you will pay stamp duty as a percentage of the total property price (2% up to £250,000, 5% up to £925,000 and 10% up to £1,500,000). Stamp duty can be substantial and is a cost often forgotten by buyers so it’s important to factor this in to your planning.
It’s easy to become so focused on the buying process that you forget you’ll actually be moving in at some point too. The logistics and costs that are involved in moving home are important to plan for, especially removals support for your furniture and possessions. The cost of this will vary depending on a range of factors including:
- When you move (e.g. weekday or weekend)
- How far you’re moving
- The volume of possessions
- How big a team you need
- Whether you also want packing support
Moving home is one of the top most stressful experiences in life – but also can lead to some of the most joyful. It’s important to make sure that you’ve taken all the important factors into consideration so that you can plan for a smooth and easy move.
If you’re thinking of moving, get in touch with Clarke Gammon Wellers today.