27 / 32
©
Copyright Glaric Consultancy Ltd. 2016
WHAT COSTS CAN WE EXPECT IN THE
SALE OR PURCHASE OF A RESIDENTIAL
PROPERTY?
It is inevitable that when you buy or sell a property you will attract costs and you will find listed below
the majority of those applicable.
The actual amounts will vary and are dependent upon the price of the property being sold or
purchased.
Selling a Residential Property
Estate Agents Costs
– These are normally calculated as a percentage of the sale price. When you first
put your property onto the market, your agent will have agreed with you a percentage commission
which would include all the marketing and advertising activity associated with selling and promoting
your home.
Legal Costs
– These are associatedwith all the work your solicitor will carry out during the conveyancing
process and will be agreed before you instruct them.
Purchasing a Residential Property
Deposit
– Once again a variable, however, this is the amount your mortgage provider will require you
to pay as a down payment in order to obtain your mortgage.
Mortgage Valuation/Survey
– This is an area you need to think about as you have three options.
Normie & Co will be happy to recommend a local independent surveyor to advise you further.
•
The Valuation Report only covers the mortgage provider. It will not tell you about any structural
defects or other problem areas which could undermine your investment.
•
The HBSA is a more detailed report and whilst costing a little more does provide a much more in
depth analysis of your proposed purchase.
•
The Structural Survey is advised for older property or in areas where there are known problems,
such as subsidence.
Normie & Co will be happy to advise you.
Mortgage Booking/Application Fee
– This is a fee levied by your mortgage broker for setting up the
mortgage and acting on your behalf. The cost can vary, but will be identified at the start of the process.
Rateable Value and Rates Payable
– It is advisable to make a note of the Rates Payable on a property
that you are interested in as they vary from area to area. Normie & Co will be able to get this
information for you.
There may be other costs associated with the purchase of a property, however, the ones listed above
are the major areas you should be aware of.