The Fees Associated with Moving Home
There is no getting away from it, moving home costs money...a lot of money.If you’re thinking of moving house it is well worth planning your finances well in advance as the cost of your new home is just the start of a very expensive journey. This article will provide you with a list of some of the expenses that you will need to consider when selling and/or buying a property but we have not given any details as to figures as there is so much variation depending on individual circumstances. We strongly recommend that you carry out your own detailed research based on the information below:• Stamp Duty Tax – this is a tax that the government levies on the purchase of properties. The amount that you will need to pay will vary depending on the purchase price. You can find up to date information about Stamp Duty Tax by having a look at the HMRC’s website.• Estate Agents’ Fees – if you are selling a property and you want to put the sale into the hands of an estate agent you will have to pay them for their services. Some estate agents charge a fixed fee while others charge a percentage of the purchase price. The good news for you is that these charges are not set in stone. Make sure that you haggle with your agent to get the best deal for you.• Solicitor’s Fees – unfortunately, this is an unavoidable expense and if you are selling as well as purchasing a property they will charge you for handling both transactions. We strongly recommend that you try to get an idea about the final costs before you sign on the dotted line...you may be able to get a deal on the price if the same solicitor handles the sale and the purchase of your properties. In addition to the legal fees your solicitors will also pass on to you the costs that they incur by carrying out searches on your behalf. Don’t forget to ask how much the search and Land Registry fees will be when costing out your legal advice.• Mortgage company costs – this is another area where you may be charged twice if you are both selling and buying properties. If you are leaving one mortgage and taking out a new product you could be faced with having to pay an exit fee to get out of your old mortgage. Then you will probably be hit by having to pay set up costs (which can be very expensive) for your new mortgage. In addition to the above fees, mortgage companies will always demand that a valuation survey is carried out on any properties that they lend money on. Unfortunately, the cost of this survey will be passed on to you (even though it is the mortgage company’s interests that are being protected).• Surveyor’s fees – a word of caution is required here. You may feel that you do not need a survey to be carried out on your purchase as the mortgage company has already arranged for one to be undertaken (and what’s more, you’ve paid for it). As we stated above the valuation survey is done on behalf of the mortgage company and its sole purpose is to ensure that the building society will not lose money on the deal. That is; the mortgage company needs to ensure that the house is worth what they are lending. You may wish to protect your own interests by having a survey carried out on the property. The type of survey, and by extension, the cost of the survey varies considerably. Other considerations that will affect the charges made by surveyor’s are; the age; size and condition of the property.• Removal costs – again there are many varying factors which will affect the amount that you will need to set aside to pay to move house. For example, you will keep your costs down if you decide to hire a van and carry out the move yourself. But if you decide to use a man with a van the costs will usually increase. Further price hikes can be expected if you opt to hire a formal removal company. In addition, there are many other factors such as location; time of week/month that the move is due to take place; school holidays and distance between properties will all affect the price that you pay to move home.As you can see there are a lot of expenses involved in moving house and it is advisable to consider all of these before deciding on a maximum purchase price for your new home. Be realistic about what you can afford to spend and life will be just that little bit more stress-free.