The True Cost Of Buying A House
O We love shopping- whether it’s clothes, furniture or gadgets. It gives us a rush
and makes us feel exciting. You can imagine the kind of rush and euphoria that takes over a person whose about to finalize the purchase of a house. Not only does it add to your social stature it’s generally consider a milestone in one’s life to own their first home. While all that is fine and dandy, a majority of first time buyers forget to assess the situation logically and crunch all the numbers- thereby often leading to dire circumstance like foreclosure. O However, things are not as bad as they seem. There are a few pre planning
steps that every new home buyer should keep in mind and prime amongst them is assessing the true cost of a new home. By this we don’t mean the actual sale price of the house. Yes, that does make the large majority of your costs but there are other additional payments that you will have to make.
The most obvious amongst them all is the cost of raising a mortgage. Not only will there be a principal interest that you will have to incur on a timely basis, thereâ€™s often also an arrangement fee that needs to be paid. Similarly, before a financial institution can lend you the money they will need to cross check that the property exists and everything is legit. For this they will levy another evaluation fee on top of it all.
Moving forward thereâ€™s a stamp duty that you have to pay every time you buy a new house. The rate of the stamp duty varies on the price and the kind of the property in questions. This stamp duty is a percentage of the final cost and as you can assume even the slightest percentage can increase your cost.
Once you have bought the house there can be additional costs like house repairs. It’s crucial that you get a professional to inspect the house in advance to figure out the approximate amount that repairs would amount to. Even if the previous homeowner had promised to fix the flaws in the property, they might have take the cheap route and their work might not be acceptable by your standards. There are many other surprise costs that can rise up and it’s crucial to make provisions for those.
If you have been renting a furnished apartment before your purchase then you will likely spend a substantial amount of money on buying new furniture and appliances for your brand new house. While these might seem like small expenses when it comes to the price of the actual house, they will add up quickly and before you know it you will be faced with a large figure that you need to spend. This is why number crunching needs to be done before you take the final steps.
It’s best to take the help of a professional estate agent in such matters. IF you’re looking for one in Chorleywood, click here.