How much to put by for fees & costs?

suisidevw

Superfran. How much is your property?


You could make an instant overpayment on the mortage of the arrangement fee. Otherwise you'll pay the arrangement fee and there IS a chance that the sale will fall through and retrieving this morney I'm led to believe is relatively hard. If you add onto mortgage and it all falls through at least you have chucked hundreds down the swanny!

suisidevw

Sorry, didn't see above post!

superfran_uk

Ditto wrote: »

Looking at the thread below a few people (ones a I am a Mortgage adviser and another is aI am an Independent Financial Adviser) think adding the fee onto the mortgage is a good idea if you think the mortgage wont proceed or you can make overpayments

http://forums.moneysavingexpert.com/showthread.html?t=1686133&highlight=

To be honest I had not considered that our mortgage would not proceed. And also, there was no mortgage arrangment fee for our mortgage. The transfer fee etc we are paying straight up.

The property is 187,000.

suisidevw

How have you managed to spend £3k without the stamp duty then and no mortgage arrangement fee?

How about being gazumped, sellers pulling out etc? Just thoughts....

ciano125

Get the people you are buying off to pay your legal fees, I've just done that and it's saved me over £800 that would otherwise have been coming out of my pocket.

Actually, get them to pay for as many things as possible!!

downshifted

I have just been quoted £490 plus VAT for solicitors selling Fees (we are moving into rented for a while, so not buying yet) We already have a HIP and no mortgage. Is this reasonable?

superfran_uk

suisidevw wrote: »

How have you managed to spend £3k without the stamp duty then and no mortgage arrangement fee?

How about being gazumped, sellers pulling out etc? Just thoughts....

We were buying through a relocation company - so it was a vacant property (so in best interest for everyone if it went through!) and although I know it wouldn't stand up legally, we had their 'word' as a company that they would not sell to anyone but us unless we a) pulled out or b) couldn't complete within their time frame. Naive, maybe, but we're completing in a week so it's worked out ok on this occasion...

Ok how did we spend the money...
Biggies are the full survey, solicitor's fees and extra searches, and buildings/contents insurance (had to have this in place to exchange, strange term but never mind), then there were lots of smaller costs like telegraphic transfer fees etc from the HA and the mortgage lender, we paid to go see our solicitor twice out of the house fund (quite a long round trip but he's a friend's brother so at least he's on our side), we probably spent about £30 on sending documents signed for post (had one payslip lost, not happening again for the sake of a few quid!)... also paid for van hire.

Probably worked out under £3k now I actually add it up, but it's not too far off!

G_M

downshifted wrote: »

I have just been quoted £490 plus VAT for solicitors selling Fees (we are moving into rented for a while, so not buying yet) We already have a HIP and no mortgage. Is this reasonable?

It's a top-end cost. Shop around. My (small) local solicitor wanted the business and agreed £300 on a no sale no fee basis. Disbursements on top of course (search costs, stamp duty etc) so you need to compare like with like. Be careful with the new stamp form - solicitors charge between £25-50 extra for filling this in for you after Completion.

gemstars

I'm buting now and I think your budgeting sounds about right. So far we're paying:

£299 arrangement fee
£350 Homebuyers survey
£450 solicitors costs (including land registry, transfer fees etc)

Tan_ya

Thank you everybody... your views and experiences have been very helpful!