UNDERSTANDING THE COSTS OF BUYING A NEW HOME

In case you haven’t already done so, it’s important to work out how much you will be paying when you choose to buy a new home.  Here’s a quick guide to help you:

Deposit

Deposit – you will need to fund at least 5% of the value of the property for your deposit.  If you qualify for Help to Buy, you will get further funding from the Government up to a maximum of 20%.

Stamp Duty

If the purchase price of your new MY360 home is less than £125,000, then you won’t have any Stamp Duty to pay.  If it’s above this amount, you will have to pay Stamp Duty based on the value of the property.  Please see our Stamp Duty calculator below:

 

Purchase Price Stamp Duty rate

On that portion of the purchase price

Up to £125,000 0%
£125,001 – £250,000 2%
£250,001 – £925,000 5%
£925,001 – £1,500,000 10%
£1,500,001+ 12%

 

Valuation Fee

Your mortgage lender must value your new property as part of the mortgage application.  Most lenders will do this free of charge, however, some charge a small valuation fee of around £200.

Legal Fees

You will need to instruct a Solicitor to carry out the legal work whenever you buy or sell a home.  The cost of legal fees vary depending on whether you are selling and buying, or just buying.  Budget between £500 and £1,500 plus VAT at 20%.