Fees when buying a house

Disney_Princess85

I'm in the early stages of saving for a house. I'll be a first time buyer and not really given this much thought till now.

What fees do I need to pay and can anyone give me a rough idea of how much they may be? I want to make sure that once I am in a position to get a mortgage then I have money put aside for everything I will need.

Hedgepigs

Probably forgot stuff but for starters....

Solicitors - £1,000+
Stamp duty (only if property is over £300k)
Survey - £500+
Gas/Electric inspections (if you choose to have them. Your survey will recommend)
Mortgage fees (not all have them)
Mortgage broker (if using, and using one that charges) - £250+
Removals costs / van hire - can vary wildly depending on your circumstances

Costs for any overlap from completion to end of tenancy

Insurance needs taking out from exchange

Don't forget anything you might need for your new house - eg washing machine, fridge freezer etc and even things like curtains, can quickly add up if your landlord provides them and you don't have your own already. 

MovingForwards

Varies depending on where in the UK you're buying.

If you give a county, whether it's a flat / house and what kind of price you're looking at people will be able to say what they paid.

gould300

Ring around a few local solicitors and ask what they charge - some are a fixed fee, some a percentage fee of some sort. Then add on stamp duty for your expected property value (Google the current rates).

That's what I did when I purchased a flat last year. It cost about £1k in solicitors fees (which were dispersed to the various agencies by the solicitor) plus stamp duty.

Don't forget to budget for fixing stuff up once purchased - I had some odds and sods to do including a couple of damaged window panes, for example.

Disney_Princess85

Thank you thats really helpful. For insurance do you mean building and contents?

Disney_Princess85

MovingForwards said:

Varies depending on where in the UK you're buying.

If you give a county, whether it's a flat / house and what kind of price you're looking at people will be able to say what they paid.

Would be a house 3 bed in Wiltshire.

flashg67

Disney_Princess85 said:

Thank you thats really helpful. For insurance do you mean building and contents?

Yes - will need to be in place straight away (buildings cover is compulsory if you're getting a mortgage)  - please don't forget to get it - (we had a fire on our 3rd night resulting in a 36k claim!)

Disney_Princess85

flashg67 said:

Disney_Princess85 said:

Thank you thats really helpful. For insurance do you mean building and contents?

Yes - will need to be in place straight away (buildings cover is compulsory if you're getting a mortgage)  - please don't forget to get it - (we had a fire on our 3rd night resulting in a 36k claim!)

Oh wow! Yeah I'll definitely add that to my list!

badger09

Disney_Princess85 said:

flashg67 said:

Disney_Princess85 said:

Thank you thats really helpful. For insurance do you mean building and contents?

Yes - will need to be in place straight away (buildings cover is compulsory if you're getting a mortgage)  - please don't forget to get it - (we had a fire on our 3rd night resulting in a 36k claim!)

Oh wow! Yeah I'll definitely add that to my list!

As said, buildings insurance is compulsory from Exchange (on a mortgaged house) but contents is optional - obviously, as your contents won't be there until completion. BUT, its often cheaper to have both from exchange, rather than pay an admin fee to add them shortly afterwards. You can get quotes lined up a few weeks before suggested exchange date, then simply confirm on the day.

MaryNB

Hedgepigs said:

Probably forgot stuff but for starters....

Solicitors - £1,000+
Stamp duty (only if property is over £300k)
Survey - £500+
Gas/Electric inspections (if you choose to have them. Your survey will recommend)
Mortgage fees (not all have them)
Mortgage broker (if using, and using one that charges) - £250+
Removals costs / van hire - can vary wildly depending on your circumstances

Costs for any overlap from completion to end of tenancy

Insurance needs taking out from exchange

Don't forget anything you might need for your new house - eg washing machine, fridge freezer etc and even things like curtains, can quickly add up if your landlord provides them and you don't have your own already. 

I would double that to be safe.
It could be more like £1,000 flat fee + VAT, plus approx £400 for searches + extras (e.g. HTB, gifted deposit, new build etc).

hutch2828

Remember that insurance companies classify carpets as contents and laminate or wood flooring as part of the building. I had a claim once on a rental property many moons ago where the tenant was growing cannabis. The top part of the house was caught up in a fire. They paid for the laminate in one bedroom but not the carpet in the hall and other 2 bedrooms.