A rough guide to fees...

StoneColdMarkyG

Hi all,

I'm very much at the preparatory stage of buying and wondering how much I should be budgeting for all the extraneous fees incurred when moving? The property will be circa £70k so Stamp Duty's not an issue.

I'm thinking in the £800 to £1k area... about right?

Oh and finally, just in case the budgeting doesn't go as planned, can you have these fees "added to the mortgage" to save me having to scrimp?

Many thanks!

googler

I'd reckon £800 tops for a standard purchase at that level.

Ask your mort lender if you can integrate the fees into the mort, but ask yourself this - do you REALLY want to pay your fees in dribs and drabs for 25 years or so?

StoneColdMarkyG

googler wrote: »

Ask your mort lender if you can integrate the fees into the mort, but ask yourself this - do you REALLY want to pay your fees in dribs and drabs for 25 years or so?

Not really, no. But some genius decided to put Christmas right in the middle of the cheapest time to move so saving up could be an issue.

Thanks for the help though

G_M

How have you budgetted this - what have you included?

Solicitor's fees & disbursements
Mortgage application / valuation & survey fees
Removal expenses
Utility connections
Cleaning & decorating
Repairs, boiler service new locks etc
MIG
Insurance - buildings, contents, life
etc
etc

StoneColdMarkyG

Solicitor's fees & disbursements - included
Mortgage application / valuation & survey fees - included
Removal expenses - included (will just be the cost of hiring a van as I'd do it myself)
Utility connections - it'll likely be a new-build, will this be necessary?
Cleaning & decorating - included
Repairs, boiler service new locks etc - not included, damn.
MIG - I'm going to look really stupid here.... what's that?
Insurance - buildings, contents, life - I've already got buildings and contents so will just transfer the policies to the new property. I have life cover too.

Thanks for your help!

firstaspect

That should be about right, although you may find that some mortgage lenders charge a huge fee to set it up, although this can be usually added to the loan.

StoneColdMarkyG

firstaspect wrote: »

That should be about right, although you may find that some mortgage lenders charge a huge fee to set it up, although this can be usually added to the loan.

I'm probably looking at 90% LTV so was expecting to take a hit on the arrangement fee.

Moglet

I've just bought my council house and it's cost quite a lot and that's without any moving costs. Market value - £70k.

Legal fees - £660.
Mortgage product fee - £495 (added to mortgage)
Mortgage account fee - £240 (added to mortgage)
Building survey - £340 (done before mortgage application to satisfy myself I wanted to proceed before committing further money)
Mortgage valuation - £280
Buildings/contents ins - £400 (although previous contents only was already £250)

Total - ouch!

G_M

StoneColdMarkyG wrote: »

Solicitor's fees & disbursements - included
Mortgage application / valuation & survey fees - included
Removal expenses - included (will just be the cost of hiring a van as I'd do it myself)
Utility connections - it'll likely be a new-build, will this be necessary?
Cleaning & decorating - included
Repairs, boiler service new locks etc - not included, damn.On a new build?
MIG - I'm going to look really stupid here.... what's that?
Insurance - buildings, contents, life - I've already got buildings and contents so will just transfer the policies to the new property. I have life cover too.

Thanks for your help!

I also suggested etc etc ! My list was not exhaustive, just what I thought of in 45 seconds.

PasturesNew

MIGs died out years ago, they were put in place after the last crash, then slowly removed by lenders so their products became competitive with the others who had removed them.

MIG used to be an insurance policy you paid for if you were borrowing more than 80-85% of the price. They cost about £1k and it was a condition of most/many mortgages about 10 years ago. You paid, then if you were repossessed and the house sold for less than was owed on the mortgage, the insurance policy paid the difference to the lender. The MIG Insurance company than came after you for the shortfall, for up to 12 years.