Costs involved when buying a home...

Thinking of buying your first home this year?

Let's look at some of the common costs involved when buying a home…

This two-bed detached bungalow is listed with Phil Hall Estate Agents in Polegate for £375,000.

Right Move: https://www.rightmove.co.uk/properties/146577380#/?channel=RES_BUY

Here are some of the common mortgage costs involved based on this property as a First Time Buyer;

·       Deposit – You’ll need a minimum of 5% which will be £18,750, you can put more down if you can afford to do so.

·       Product/Arrangement Fees: Some lenders charge fees on certain products which could be anything from £0 - £1,999 this can vary depending on the lender and type of product. In some scenarios, you may even be able to add this to the loan amount.*

·       Conveyancing / Solicitors Fees: You’ll need a solicitor to handle the legal side of things, there are a number of variables that can impact the cost of solicitors for a property purchase such as property type, and deposit source. On average First Time Buyers paid £1,314* in 2023. This is an estimate and your solicitor will confirm costs based on your situation

·       Valuation/Survey costs: When applying for a mortgage the lender will complete a valuation to check the value and that the property is suitable security, this might be free or there could be a charge. This is completed for the lenders purposes and if you would like a more in-depth survey completed then depending on the type and property size prices range from £300 - £1,500.*

·       Broker Fee: Broker fees may apply if you are using a mortgage broker to find a suitable deal and the costs between brokers can differ. Some charge a fee whilst others may be fee-free.

·       Stamp Duty Costs: As a First Time Buyer buying a property in Polegate / Eastbourne you would not pay stamp duty on a purchase price of £375,000.*

Your solicitor and your mortgage advisor will discuss and confirm the fees payable based on your circumstances.

This is a guide of common costs and there may be other fees and costs associated with moving home.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP WITH THE REPAYMENTS ON YOUR MORTGAGE.

Source: https://www.which.co.uk/money/mortgages-and-property/first-time-buyers/buying-a-home/the-cost-of-buying-a-house-aTnH73d3llji

Source : https://hoa.org.uk/advice/guides-for-homeowners/i-am-buying/how-much-does-a-house-survey-cost/

Source : https://www.gov.uk/stamp-duty-land-tax