Upfront costs of selling and buying

oaksandacorns

Hi
We hope to sell for 140k and buy for 200k. Any idea what upfront costs I'll need to pay for?

 I've rung round solicitors and they want 350 upfront, rest paid out of profit on house on completition. I found an energy certificate still valid on the government website so shouldn't need to pay out on that. What else will I need money for upfront? 

MaryNB

Surveyor if you want a survey done. Maybe £500.
Mortgage valuation fee about £200. The product fee (usually around £999) can be added to the mortgage if you don't want to pay that up front. 

oaksandacorns

Thankyou, I'm trying to work out if we can afford the upfront cost, it's frustrating because the money is all in the property and we don't have much spare. I wonder if we can afford to sell and buy

TBG01

Keep looking for other quotes.
The firm I work for would take the sale fee on completion from the sale proceeds. On a purchase we only ask for £250 and that's simply to order your searches.

eddddy

oaksandacorns said:

Thankyou, I'm trying to work out if we can afford the upfront cost, it's frustrating because the money is all in the property and we don't have much spare. I wonder if we can afford to sell and buy

That sounds a little bit scary. It sounds like you'll be increasing your mortgage by at least £60k to £70k - which will significantly increase your monthly mortgage payments - but you've been unable to save anything, even with your current small mortgage payments.

Anyway, I guess there's the risk that you start buying a property, but searches and/or surveys and/or pre-contract enquires show-up major problems, and you decide to walk away.

You'll have lost your search and survey costs. If you then decide to buy somewhere else, you'll need to pay those costs over again.

oaksandacorns

eddddy said:

oaksandacorns said:

Thankyou, I'm trying to work out if we can afford the upfront cost, it's frustrating because the money is all in the property and we don't have much spare. I wonder if we can afford to sell and buy

That sounds a little bit scary. It sounds like you'll be increasing your mortgage by at least £60k to £70k - which will significantly increase your monthly mortgage payments - but you've been unable to save anything, even with your current small mortgage payments.

Anyway, I guess there's the risk that you start buying a property, but searches and/or surveys and/or pre-contract enquires show-up major problems, and you decide to walk away.

You'll have lost your search and survey costs. If you then decide to buy somewhere else, you'll need to pay those costs over again.

We have an 80k mortgage now but the house is worth 150-155 based on 3 agents. I thought I'd assume it'd sell for 140, so 60k profit. I'd hoped we'd be able to use 10 of that for the cost of moving, but realising we'll have to save it up instead. We have a loan finishing this month so can save decent amounts after that for us. 

tink_1983

You need approx 300 for searches up front for solicitors and this is all we paid them up front.
We also paid for a survey but this is optional.
All agents fees and the main bulk of solicitors fees comes from profit when we complete.

oaksandacorns

tink_1983 said:

You need approx 300 for searches up front for solicitors and this is all we paid them up front.
We also paid for a survey but this is optional.
All agents fees and the main bulk of solicitors fees comes from profit when we complete.

That's what I was hoping we could do, we're with Halifax now, staying with them for next one, but after 10 years here, I've no idea what we did back then.

Drawingaline

Our upfront costs were £500 deposit to the solicitors once instructed and the broker fee, and then further down the line removal costs. It took six months to sell and buy, in that time we saved all the money needed for solicitor and ea fees.