What are the costs of moving?

During your first consultation, we will calculate your likely fees and costs, which will be specific to your circumstances.  We can also make available a budget planner, which you can keep to help you understand the costs of running a home.  Here’s a breakdown of some of the likely fees you may have to pay:

Upfront Costs

Usually one off payments and will be payable at various points of your buying or re-mortgaging journey. If you’re purchasing a home you’ll need to consider fees that become due as soon as you have found the right property, whereas others might become due right at the end, just before you get the keys. Here are some examples of typical fees and when they are usually payable:

Upfront Costs

Usually one off payments and will be payable at various points of your buying or re-mortgaging journey. If you’re purchasing a home you’ll need to consider fees that become due as soon as you have found the right property, whereas others might become due right at the end, just before you get the keys. Here are some examples of typical fees and when they are usually payable:

Solicitor Fees

When you buy, sell or remortgage your home, there is some legal work required to complete the process. The amount you pay will vary depending on your circumstances and which legal ‘conveyancing’ firm you decide to use. If you are buying a home, you would usually pay an amount within the first week to your solicitor for what is known as “Searches”. The price of Searches can vary, but is usually under £500. Following this, the remaining balance owed to your Solicitor is typically paid when you complete on the purchase/sale or remortgage.

Mortgage Advice Fees

Ernest Grant Mortgages charge a one off fixed fee to ensure you have total transparency. Our fee is paid at the point our advice is formally delivered and we apply for your mortgage. We charge a flat fee for advice of £499.

Survey

You’ll want to know everything about the property you are buying, particularly the unexpected. Mortgage lenders typically carry out what is known as a valuation, this is for their own protection to ensure the property they are lending against is fit for purpose. Should you also need piece of mind, a chartered surveyor can give you a detailed overview of the current condition of the property which can help to make an informed decision about the purchase. Fees vary depending on the type of survey required, but usually are no more than a few hundred pounds.

Deposit

Arguably the hardest part of any first time buyers journey is saving that much needed deposit for their first home. Mortgages for first time buyers are available from as little as a 5% deposit, however this can vary and will be based on various criteria. Having a good savings plan in place and sticking to it is essential if your goal is to get onto the housing ladder. You may be in a more fortunate position of receiving a gift towards your deposit, we will be happy to discuss what this means in your consultation.

Stamp Duty

Stamp duty land tax (SDLT) is a tax paid when you purchase property or land in the UK. It varies depending on where you are buying and also your own circumstances. Take a look at our Stamp Duty calculator page to find out more: Stamp Duty Calculator

Valuation

As part of your mortgage application process, the bank will require that they carry out a formal valuation on the property, to ensure the property they are lending against is fit for purpose. This should not be mistaken as a survey, as a valuation is mainly or the lenders use and not yours as a buyer. Fees vary depending on whether you are buying the house to live in or if you are planning on renting the property out. Some lenders offer a fee free valuation, but others may charge a fixed fee.  We will help you navigate the best deal for your circumstances and objectives.

Ongoing Costs

Buying your own home is a great accomplishment and one to be proud of. It is also the biggest financial commitment most people make in their lifetimes and so it’s important that you know what you need to plan for. Putting a comprehensive budget plan in place is a great way to ensure you are prepared for every eventuality. Lets take a look at some of the typical ongoing costs of home ownership.

Mortgage Payments

Pretty obvious right? Well, for most people their mortgage payment is usually the biggest monthly expense. The payment amount will depend on the price of the house, your deposit and the type of mortgage and rate you go for.

Protection

As exciting as buying a house is, it’s also really important that you take the time to ensure you never have to worry about you or your family losing it. Our job is to get you into the house, and make sure you stay there, no matter what. Setting aside a smaller amount per month can give you a contingency plan that means if the worst does happen, you’ll have one less worry.  Please see our ‘protection’ page for further details.

General Bills

Other general bills vary from household to household. In this area you can account for things like energy bills, entertainment, internet, phones, food shopping or other committed bills such as car finance, existing loans or credit card repayments.

Taxes

Council tax varies depending on the size of your home and the local authority (council) that you fall under. Generally the larger your home the larger your council tax payment will be.  Council tax is paid for your contribution towards things like policing, fire service, bin collection, maintaining roads and street lighting in your area and so on. This is typically an annual bill paid over 10 or 12 months of the year.

Service Charges

If you buy a leasehold property (you own the property but not the land it is built on), an example could be an apartment, you will typically have to pay an annual cost for the land/building to be maintained. This may be charged monthly, quarterly or 6 monthly. It’s important to factor this into your monthly costs as some service charges can be quite expensive so make sure you know exactly what you’re likely to pay.

Ongoing Costs

Buying your own home is a great accomplishment and one to be proud of. It is also the biggest financial commitment most people make in their lifetimes and so it’s important that you know what you need to plan for. Putting a comprehensive budget plan in place is a great way to ensure you are prepared for every eventuality. Lets take a look at some of the typical ongoing costs of home ownership.

Want to find out more?