Are there any implications to . . ?

TheTortieEllie

Hi,


I'm looking at buying a small flat. I am currently living at home saving up the deposit (and paying rent).

Are there any implications with buying a property, and not actually moving into it for several months (possibly over a year)? Such as losing rights/penalities etc? I would obviously be paying the mortgage during this time.

Also, if I remained at home for a few months, could I leave my council tax obligations where I am currently staying, or does the fact that I am the new owner of the flat mean that I would have to pay council tax as if I were living there?

Sorry if my questions seem basic - I'm completely new to home buying.

kiddakidda

I'm pretty sure that you will be liable for council tax if the property is not BTL and vacant.

Any insurance policy would also expect you not to leave the property not vacant for any more that 30 days

G_M

It's your property, so costs are yours. eg: gas, electricity, water, insurance, mortgage etc.

Council tax is your liability too, though some councils offer discounts for some months, for empty or uninhabited properties, or properties being renovated: check your local council.

There's also a risk of vanadilsm, squatters etc with an empty property.

Insurance can be hard as insurers don't like empty properties.

TheTortieEllie

Thank you for your replies.

I was hoping to continue staying where I am now for a few months and carry out some updating on the property - just paying standing charges and the mortgage, but if I'd have to transfer my council tax there it would make more sense for me to just move straight in (my current rent includes the council tax and my parents wouldn't reduce this, so I'd be paying out twice).

How much would insurance be (roughly) on a two bedroom flat in the South East (not London)?

Thanks

stator

Check your council's website about council tax discounts for unoccupied properties.

G_M

and check a comparison site for insurance quotes.

eddddy

TheTortieEllie wrote: »

How much would insurance be (roughly) on a two bedroom flat in the South East (not London)?

Thanks

Normally you would just be insuring the contents - so if you don't move in, and there is nothing in the flat, there aren't any contents to insure.

The building is normally insured by the freeholder (and you pay your share via a service charge).

If you do decide not to move in, get a copy of the buildings policy from the freeholder, and see what it says about leaving a flat unoccupied. It may impose special conditions.

TheTortieEllie

I'll check the council tax rules on their website,

I did try a price comparison website, but it wanted all my current personal details (landline number) etc and then it asked to email me my quotes rather than showing them on the site. I will try another one, as I don't want them ringing me when I'm just trying to gather information

This flat comes with share of the freehold, so what would be the implications of the buildings insurance in this case? I have been budgeting as if I would be liable for the whole cost as if it were a house.

eddddy

TheTortieEllie wrote: »

...
This flat comes with share of the freehold, so what would be the implications of the buildings insurance in this case? I have been budgeting as if I would be liable for the whole cost as if it were a house.

The building will almost certainly already have 'Freeholder Buildings Insurance'. The policy would continue after you bought the flat. This isn't the sort of thing you would find on the standard comparison websites.

It will be renewed each year by the freeholder.

If there are a number of joint freeholders, there will (hopefully) be a clear way of making decisions about things like who to insure with when the renewal comes around each year. e.g. you all vote on which insurer to go with.

Hedgehog99

Check your local council website for the details on council tax. Some councils give a discount for a set time if the property cannot be occupied due to major refurbishment, or if it's unoccupied, but it's now increasingly common to want to charge more than 100% council tax for unoccupied properties, so the only thing to do is check locally. Might be cheaper to stay there a couple of nights a month & therefore pay normal CT and normal insurance (within the 30-day vacancy restrictions) & go back home when the place smells of paint or is temporarily without a loo! Remember that a two-bed property is more expensive for CT, so if you'd only use the second bedroom for storage, it's expensive storage as far as mortgage & CT.

LittleVoice

TheTortieEllie wrote: »

Thank you for your replies.

I was hoping to continue staying where I am now for a few months and carry out some updating on the property - just paying standing charges and the mortgage, but if I'd have to transfer my council tax there it would make more sense for me to just move straight in (my current rent includes the council tax and my parents wouldn't reduce this, so I'd be paying out twice).

How much would insurance be (roughly) on a two bedroom flat in the South East (not London)?

Thanks

What do you mean by the bits I have put into bold?


Are you currently living somewhere provided by your parents but they don't live there?


You don't transfer Council Tax, you are simply liable for it in relation to specified properties. The CT relates to the property more than to the person.