Have you ever experienced the process of buying a home? Well, it is a very complicated, long and hard task, if we’re being honest. It is also very expensive. The costs are way too high and they increase even more when you are selling a house and buying at the same time. If you are a First Time Buyer in Sheffield and want Mortgage Advice in Sheffield, this guide will help you. Let’s take a look at some of the costs of buying a home that you need to know about:
The only time you will require an estate agent is when you want to sell a property. The fees of the estate agents differ from an agent to another. The fee of an estate agent is not cheap and the ones that can be hired for a low rate are based online so they do not have their own established offices.
If you don’t care about a high fee and you want a perfect service, then you should go for a local estate agent that has an office so that you can get more of a personalised service. However, this can cost you around 1 to 2% of your overall selling price. But if you can afford it, then it will be very beneficial.
The estate agents fee is mostly negotiable, especially in the “seller’s markets”. This is when many agents are competing to get instructions from you because there are not many houses left on the market for them to deal around with. So, if you are a Moving Home in Sheffield, consider the estate agency fees wisely.
If you are a First Time Buyer in Sheffield, you should know that if before you take out a mortgage, the lender will need to know that what you are paying is actually the worth of the property. Most of the lenders will offer this service for free but they might not share with you a copy of their reports then.
If your lender is not offering a free valuation service, then you’re going to have to fork out more money to pay for one. This fee can be as high as a few hundred pounds, which can be way above budget for many people. If you want a more detailed and informative report, it’s most likely that you’ll have to pay double the fee. Believe it or not, there is even a top of the range option which costs a big four-figure sum!
If you have a Mortgage Advisor in Sheffield, they can explain what these different types and ranges of surveys consist of so that you’ll be able to make a decision that will be best for you.
Depending on the condition that the house is in, you may have to upgrade the survey accordingly so that you get all information you need in the report. A good survey is very expensive, but at the same time it can provide important information about the property. If you end up buying a property without getting it checked, you could end up paying a lot more for the repairs you’ll have to deal with in the future.
The general rule of thumb is that the mortgages that have the lowest minimum interest rates are the ones that come with the highest fees. Fees required to set up a mortgage can actually range from zero to more than a few thousand pounds! If it’s an option, you may want to add your lender’s arrangement fee to your mortgage.
Your Mortgage Advisor in Sheffield will always aim to recommend the cheapest product that will meet your needs perfectly without any issues. They will also be able to calculate your total mortgage amount that will be required over a term.
Here’s a top tip: if you are borrowing a higher amount, you are going to want to try and keep the interest rate as low as possible.
If you are starting the process of buying a home in Sheffield, you will need to have a solicitor as well so that all of the legal work can be taken care of. For example, the legal aspects include who owns the property, who’s selling it and so on. Without a solicitor, people can sometimes get caught in illegal issues as well. So, you need to have one to successfully carry out your moving home journey.
Solicitor fees vary, some may appear quite expensive and this is because their quotes include the VAT as well. Though remember that not all solicitors are on “panel” for all lenders, so you need to be careful and choose the right one for your needs. Once again, your Mortgage Advisor in Sheffield will be able to help you make the right decision in this regard as well.
There are purchases that will be subject to Stamp Duty. Stamp Duty is a tax that you pay to the government when you are buying a house. Often, First Time Buyers in Sheffield can get a bit confused about this fee. The rules regarding which purchases will have this tax change frequently so you can check it here: https://www.gov.uk/stamp-duty-land-tax/
If you are a First Time Buyer in Sheffield who wants mortgage advice, you should also know about mortgage broker fees. Almost every mortgage broker will charge some sort of fee for their services and the amount that you will have to pay will mostly depend on how much the lender is paying the broker for the work that they will be doing on their behalf.
A lot of the Mortgage Brokers in Sheffield will only charge you a fee from you if they are able to get a formal mortgage offer for you. You better check the online reviews about your chosen Mortgage Broker in Sheffield before you hire them.
You need to know about the removal fees too. There are lots of people who hire a van and move themselves, however, we advise against this idea. Removal companies will charge you more money, but their service is worth the money. They will make your moving day a lot less stressful in many ways.
So, these are the main costs of buying a home in Sheffield. If you are a First Time Buyer and are looking for Mortgage Advice in Sheffield, get in touch with us and we will help you get everything done in the simplest and the most effective manner!
Buying a house is a very complicated and tough task, however, if the right steps are taken, the process could be completed smoothly with ease.