House Buying - Moneysaving Tips

Cricri

Sorry if this has already been answered.
I have been working and saving for some years to reach a position where I can buy my first house cash (i.e. without any mortgage). The wife was told that if we pay all cash, then we will end up paying more (fees? tax?) then if we took a mortgage. I think this is hogwash, as this Guardian article seems to confirm:
http://www.guardian.co.uk/money/2009/dec/09/buying-a-house-cash-tax

However, could you people confirm that I am right, and that there is no "paying-all-cash" extra fees or taxes? I already know that as a first time buyer, I will not have to pay stamp duty.

Thanks!

bwaters01

Hey lucy,

Tried to look for a checklist for you as a FTB, and the best one i found was a moving checklist online at reallymoving.com. Tells you what you need to do building up to moving house, and what quotes you need.

They also do quotes for conveyancing solicitors too at a reasonable price...hope it helps ! If you need any more advice let me know, and i will try and help!

Ben

merlywdd

nic.cj wrote: »

Hello

We have had our house up for sale for a year now, 4 weeks ago we accepted (a low) offer on the basis we wanted a quick sale. The buyer is currently renting, we have an offer accepted on a chain free house.

4 weeks down the line and our buyer has no mortgage confirmed and no solicitors details. We have done everything our end. We keep ringing our estate agents to find out what is going on but not getting answer so we are losing faith. Our seller is getting a little impatient now.

Has anyone used the "quick sale for cash" buying companies?

What advice would you give on my current situation?

Regards nic.cj

Hi nic i can help you with this one i do buy properties from people in your position first think to check is that the company actually will by cash and is not just an intermediary also you have to be prepared to take at least a 25% discount off the current market price not the estate agents valuation an important point to remember as agents often inflate prices most reputable companies will give you a free appraisal dont bother with anyone who wants fees up front and they should also cover all your legal costs, you dont get the highest price but you do get a guaranteed sale in a reasonable time so its up to you to decide
all the best
Alun

alja

thanks for this thread, there's some interesting 'stuff' in here, I'm in my very early twenties and saving up for a mortgage....are there any tips for someone like me?!
I have a credit card at the moment to build up my credit rating, and have always been good with money etc., just wondered if there's anything else I could do?! any tips are gratefully received

Rob_Wills

I am currently a CASH buyer at the bottom end of the market and the things I have researched to be able to value a property:

• Know the area; location, property aspect.
• Know the selling price history, many properties have been on the market some time and have been gradually reduced in price.
• I start by offering about 30% under the latest asking price.
• There are many online sites where useful information can be found eg Zoopla, Google Maps.

I was unlucky in that I missed out yesterday on a 3 bed semi reduced from £120k six months ago to its auction guide price of £95k, eventually selling for £85k; DRAT!

robertcarroll

nic.cj wrote: »

Hello

We have had our house up for sale for a year now, 4 weeks ago we accepted (a low) offer on the basis we wanted a quick sale. The buyer is currently renting, we have an offer accepted on a chain free house.

4 weeks down the line and our buyer has no mortgage confirmed and no solicitors details. We have done everything our end. We keep ringing our estate agents to find out what is going on but not getting answer so we are losing faith. Our seller is getting a little impatient now.

Has anyone used the "quick sale for cash" buying companies?

What advice would you give on my current situation?

Regards nic.cj

On the quick sale for cash side of things, I'm afraid to say that I've had quite a lot of experience of these 'quick sale' house-buying companies both through clients who've had bad experience and also from a few people I know fairly well who've tried to set up these types of companies. Most are offering a maximum of 75% of the property's value, often so that they can purchase the property without having to put any money in to the finance to purchase it.

I'm often asked whether using these types of companies is a good idea. I'd usually say that the chances are you won't have to reduce the asking price of your property by anything like 25% to secure a private sale, so why bother with this kind of company! If they offer to pay for your conveyancing then the chances are there's something in it for them too: no such thing as a free lunch with property investors! As another poster said too, bear in mind too that the (up to) 75% of the price that they are offering to pay is 75% of the 'market value'. This value is usually defined as being the value in a survey by an 'independent' surveyor. But bear in mind the buyer will usually offer to pay for this so, without implying that any surveyors are dodgy, I've heard that some are more amenable to one point of view than another when it comes to valuation depending on who is instructing the survey...is probably the kindest way to put it.

So, if your property has been on the market for 18 months for example, the chances are that it might take a bit of a price reduction to get the property sold, particularly if the property has been on the market whilst values have been falling a bit in certain areas. If it's on the market at £200,000, is realistically worth £190,000 with a following wind, the quick sale company would offer 75% of the £190,000, not the £200,000: just £142,500. If you were wanting a really quick sale you could probably put a £190,000 property on the market for £170,000 and it would sell sharpish. That's a heck of a lot more than the quick sale company will give you.

The best you can do in your current situation is probably to re-market your own property to put pressure on the prospective buyer of your own place to get on with things.

Hope that helps a bit.

AndersLimpar_2

For First Time Buyers looking to keep the costs down, Yorkshire Building Society have a package for people with a 10% Deposit.

The Deal includes £500 cashback on completion, a years free Buildings and Contents insurance, free valuation (i paid an extra £200 for a hombuyers report) free money transfer fee and free Conveyancing (this does not include the cost of searches but is saving me £300.)

Therefore, other than the deposit itself, i am only having to pay out around £500 in fees.

No product fee or higher lending charge either!

SAVVYSHOPPER

Sorry if this has been asked/covered before - I did search but couldn't find the answer

We are looking at buying a second property valued at £95,000 as a crash pad - cannot find if stamp duty would be payable or not.

Could anyone advise me please?

Also with regard to a survey - how do we go about finding a reputable surveyor, as obviously we wont be 'introduced' to one through the mortgagee - it is a flat so not sure if one would be necessary

Sorry if I sound a bit naive but just wondered if anyone could point me in the right direction for some advice on a website for example

Thanks in advance

xxSS

mugsy77_2

Does anyone know of any webisites where you can list your own house for sale??

Thanks!!:rotfl::T:rotfl:

nomorerack

buy-back condos or houses are most likely a good buy as per my friend. Just sharing what i heard hope this helps...