Cost of Buying a House

scrivomcdivo

This may sound like a dumb question, but as I've never purchased a house before, need to ask.

How much are total costs roughly when purchasing a house? By costs, I mean solicitor fees, surveyor fees etc etc..... How much should I roughly budget for extra? Also, do some mortgages include these costs in the mortgage sometimes?

clutton_2

you need to shop around for solicitors costs, they vary enormously. They will quote you their company fee plus "disbursements" - such as local authority search fees, which they pass directly onto you. The more expensive the house, the higher the fee, usually. Valuations also vary, and depend on the mortgage company you use. I would find a good mortgage broker (Whole market broker) to advise you, (dont use the one attached to your estate agents) even if you have to pay a couple of hundred quid fee, - as there are thousands of mortgage products on the market, and as a newbie, if you buy the wrong product, it may be very difficult/expensive to sell the house at the "wrong time" later on.

you may have to pay stamp duty depending on the cost of the property
good luck

mrs_deadline

Also check out this Guardian factsheet which might be the kind of breakdown you're after.

Plus the first mortgage payment will be bigger than the normal regular payments, the lender's information pack should make this clear but it can catch people out

ashcarrot

I've made a spreadsheet for my house costs when i make the jump, I've copied & pasted below (note i have a few things so bear in mind yours will be different):

Cost
Sofa £400.00
Bed(s) £190.00
Mattresses(s) £0.00
TV -
Plates £15.00
Telephone -
Glasses (Tumblers, Wine Glasses) £5.00
Cups -
Cutlery £10.00
Bedding £40.00
Pots & Pans £20.00
Baking Trays (normal, pizza tray) £5.00
Cooking Utensils £5.00
Towels -
Bath Mat -
Table(s) £100.00
Chair -
Wardrobes + Tables etc. £150.00
Fridge £150.00
Freezer £150.00
Iron + Ironing Board -
Washing Machine £270.00
Microwave £60.00
Toaster £10.00
Vacuum Cleaner £60.00
Kettle £15.00
Contents Total: £1,655.00

Housing Costs
Surveyor £800.00
Stamp Duty 1% £1,800.00 (House Cost £180k)
Council Tax £1,375.00 (Band D)
Legal Fee with Land Search etc. £1,200.00
Mortgage Arrangement Fee £475.00
TV Licence £131.50
House Insurance £230.00
Housing Costs Total: £6,011.50

scrivomcdivo

Thanks all. We have around £1500 to cover costs and are looking for 100% mortgage. We have pots and pans etc and everything else apart from a sofa but may buy one of them on interest free credit.

lilyann1

Remmeber stamp duty is payable on property over £125k,so you go over that threshold ,there'll be another £1500 needed for that.

PoorDave

ashcarrot wrote:

I've made a spreadsheet for my house costs when i make the jump, I've copied & pasted below (note i have a few things so bear in mind yours will be different):

Cost
Sofa £400.00
Bed(s) £190.00
Mattresses(s) £0.00
TV -
Plates £15.00
Telephone -
Glasses (Tumblers, Wine Glasses) £5.00
Cups -
Cutlery £10.00
Bedding £40.00
Pots & Pans £20.00
Baking Trays (normal, pizza tray) £5.00
Cooking Utensils £5.00
Towels -
Bath Mat -
Table(s) £100.00
Chair -
Wardrobes + Tables etc. £150.00
Fridge £150.00
Freezer £150.00
Iron + Ironing Board -
Washing Machine £270.00
Microwave £60.00
Toaster £10.00
Vacuum Cleaner £60.00
Kettle £15.00
Contents Total: £1,655.00

Housing Costs
Surveyor £800.00
Stamp Duty 1% £1,800.00 (House Cost £180k)
Council Tax £1,375.00 (Band D)
Legal Fee with Land Search etc. £1,200.00
Mortgage Arrangement Fee £475.00
TV Licence £131.50
House Insurance £230.00
Housing Costs Total: £6,011.50

Although some of this is a bit mixed up - for example, council tax will have to be paid as long as you live there (monthly, ongoing), whereas stamp duty is payable at purchase, but is a one off cost. I find the above table confusing, as i would pay upfront costs from savings, but monthly ones from salary etc. As the money comes from different sources, it would be good to separate them. But the OP can probably do that themself.

Oh, and try not to add all available costs to the mortgage - it'll only cost you more in the long run.

barnaby-bear

ashcarrot wrote:

I've made a spreadsheet for my house costs when i make the jump, I've copied & pasted below (note i have a few things so bear in mind yours will be different):

Cost
Sofa £400.00
Bed(s) £190.00
Mattresses(s) £0.00
TV -
Plates £15.00
Telephone -
Glasses (Tumblers, Wine Glasses) £5.00
Cups -
Cutlery £10.00
Bedding £40.00
Pots & Pans £20.00
Baking Trays (normal, pizza tray) £5.00
Cooking Utensils £5.00
Towels -
Bath Mat -
Table(s) £100.00
Chair -
Wardrobes + Tables etc. £150.00
Fridge £150.00
Freezer £150.00
Iron + Ironing Board -
Washing Machine £270.00
Microwave £60.00
Toaster £10.00
Vacuum Cleaner £60.00
Kettle £15.00
Contents Total: £1,655.00

Housing Costs
Surveyor £800.00
Stamp Duty 1% £1,800.00 (House Cost £180k)
Council Tax £1,375.00 (Band D)
Legal Fee with Land Search etc. £1,200.00
Mortgage Arrangement Fee £475.00
TV Licence £131.50
House Insurance £230.00
Housing Costs Total: £6,011.50

Corgi man to connect gas cooker - £80
Mail redirection for 2 - £50 (ish) for 6 months
Cost of new locks (v.v. important) - fitted ourelves £200 - don't forget garage (£35 for 5 lever mortice - £25 for upvc door )
Costs to settle up any outstanding on old place bills - DD if underpaying or winter we build up arrears on gas that summer sorts out but moving means payign off.

Robert_Sterling

lilyann1 wrote:

Remmeber stamp duty is payable on property over £125k,so you go over that threshold ,there'll be another £1500 needed for that.

£1250 not £1500

PoorDave

Robert_Sterling wrote:

£1250 not £1500

If we're being pedantic, then it's 1% between 125k and 250k. Someone's bound to correct me, as i can't remember if it kicks to 3% at 250000 or 250001

[Deleted User]

I don't call 250 quid pedantic