Property Surveys
Mortgage lenders will carry out a basic valuation survey (from £150) to confirm how much the property is worth. Three other types of survey are available: a RICS Home Survey Level 1, Level 2 (previously a Homebuyer Survey) and Level 3, which is a full structural survey. Level 2 and 3 surveys are more detailed and can flag up any repairs needed. These can cost from £500 and £700 respectively.
Mortgage Arrangement Fee
You’ll need to pay a fee if you arrange a mortgage. This is often more than £1,000. Lower fees tend to mean a higher interest rate. Pay it upfront rather than at the end of your mortgage, so it doesn’t incur interest.
Conveyancing & Solicitors’ Fees
Solicitors charge a fixed fee or a percentage of the value of the property. This could come to £1,500, with the costs of searches on top. The most common searches are local authority (up to £250), Land Registry (£4-£8), drainage and water (up to £100) and environmental (up to £60).
Stamp Duty
Stamp Duty affects the purchasers of residential properties sold for over £125,000. Rates are:
- £125,001 to £250,000: 2%
- £250,001 to £925,000: 5%
- £925,001 to £1.5 million: 10%
- Over £1.5 million: 12%
Removals
Removals firms generally charge from £400. Many people hire a van instead if they don’t have many possessions.
Home Insurance
Buildings insurance is a requirement if you’ve taken out a mortgage. Contents insurance protects your belongings in the event of fire, flood, or other disaster.
