FTB- How much

ferguson_tom

Hi everyone,

Been watching the website for ages now and as i am getting close to buying a house might be able to contribute something

I am hoping people can help though. Me and my fiancee are currently saving for a house and we have about 9k saved up. We decided to start having a look at what was avaliable and the inevitable happened we came across a house we consider perfect and would like to go for it but before we do need to make sure we arent going to just waste our time as its not possible.

We have had a meeting with an advisor and can get a mortgage on a place up to 150k, the house we are lookin at is on for 136. I would like to know on top of the extra 4k we need to save for the deposit what other costs will i need to pay before we are able to complete Also how long will it take between us making an offer to actually having to hand the deposit money over. We can save about 1500 a month so would be looking 3 months until we even have the deposit sorted- hopefully you can see where im going here.

The other idea is this vendor gifted scheme obviously it would have to be agreed with the vendor but do the mortgage companies increase the interest rates if you take this option??

If it makes any real difference there is no upward chain and the house is a victorian 3 bed victorian terraced about 1870.

Hopefully someone will be able to clear this up for me as i have done so much number crunchin my calculators almost run out of battery !!!!

cheers in advance- and sorry for the lots of questions and long post

G_M

since the property is less than 250K, if you are FTB by gov definition (see here) there's no stamp duty (SDLT).

For legal costs use the search function on the forum - lots of posts on 'conveyancing costs'. and see here for shopping around.

Check with your advisor for add-on costs from your chosen mortgage lender: admin fee? Valuation? survey? Some offer these free to FTBs, some charge.

Then add another £500 - £3000 for moving costs: removals; utilitiy installation; new furniture; etc etc etc

jockosjungle

Wouldn't mess about with a vendor gifted deposit, you will pay more money as the lenders who offer it are very limited and you'd have to get the vendor to agree to it, it'll involve you paying top dollar for the house (with some returned to you for deposit) and you might miss the valuation.

As you are looking at a 10% deposit, take a look at Post Office mortgages. They are a market leader atm and I doubt a MA could come close to matching the rates.

Figure about 1500 for conveyancing (worst case, mine was £800) of which they will want £350 up front.

Depends on moving costs, maybe you can do it yourself with a van, do you have furniture. You'll also have another month at least between offer acceptance and exchange of contracts, so you'll have another month to save for furniture whilst the purchase is going through.

R

SmlSave

Hi F_T

Where I works this is about what they would charge:

Sol's Fees - £475 plus VAT £83.13
TT Fee - £29.38
Bankruptcy/Land Charges Searches - £10
Land Registry Fee - £200
Postage Fee - £17.63
Local Land Search - £100 (estimated as depend on where you are)

I'm in the Swindon area though so, of course if you're in London I'd expect the prices to go up!

If i were you I'd get at least three quotes from solicitors to work out an average spend for your calculations.

ferguson_tom

Thanks for the replies,

I contacted Halifax as they do those vendor assist things but there interest rate was 6.09% which is far too much so will not be going that route I think and I haven't actually asked the vendors yet.

I will have a look at the post office did not realise they even did mortgages.

Me and my fiancee are away all of august so i think best thing will be wait till come back and put an offer in if still available as we should be able to just about save it.

So far i have costed for the following.

Mortgage set up fee- 500 ish
Solicitors - 1000 at most
Moving costs - doing myself with car and trailers

With regards to gas and elec bill and etc do i need to pay anything upfront?

cheers

Riq

If all the gas and elec is connected still then there shouldn't be any upfront costs I don't think.

Also factor in £1,000 for a new HD TV. Every house needs one!

ferguson_tom

Already got one of them granted only a 20" but it will do until we can save for a big one