Costs to buy a property

You should think about how much it costs to buy your home as well as the ongoing long terms costs of being a homeowner. The following list will give you an idea of the costs that you should establish before accepting the S125 notice.

Purchase costs will include:

• Solicitors fees - for their time and professional advice
• Fees that solicitors pay to third parties such as Land Registry, search fees and Stamp Duty (known as SDLT)
• Mortgage arrangement fees - this may include fees to your mortgage advisor or broker for their services as well as the fee to purchase the mortgage product
• A valuation - this is normally paid to the mortgage company for their nominated surveyor to confirm that the property value is correct. If you are buying with cash then you don't need a valuation but we would recommend that you had a one anyway
• Purchase price - this may be in cash if you have the money but if you are buying with a mortgage your lender will normally ask for a deposit of at least 5% from you towards the purchase to reduce the loan to value ratio (LTV)
• Mortgage costs - you should be prepared to pay your mortgage monthly. This will normally include capital (the loan) as well as an interest payment to the mortgage company  The advice above doesn't fully cover the rights and responsibilities of being a homeowner and it doesn't fully describe all of the detail of the Right to Buy as it's a very complex product. We are happy to discuss any concerns with you but you should always take legal and financial advice before agreeing to buy your home. More help is available at the following links