EXPERTS
What costs should I budget for? Q I am a first time buyer and I really want to get on the ladder. What extra costs should I budget for besides the deposit? Linda Ryan, Basildon A Saving for a deposit is a huge milestone – but it’s only one part of the upfront cost of buying a home. Many first time buyers are surprised by how quickly the additional fees add up, especially in the final weeks before completion. Planning for these from the start will help you avoid last-minute stress and money worries. Stamp Duty As a first time buyer, you may benefit from reduced Stamp Duty, but it’s vital to check what you will owe as the tax must be paid within 14 days of completion.To work out your exact bill, use our Stamp Duty Calculator. Solicitor and Conveyancing Fees Your conveyancer handles the legal work, including local authority searches and reviewing contracts. Fees typically range from £1,000 to £2,000. Expect to pay more if you are buying a leasehold or Shared Ownership property. Even with a “no move, no fee” agreement, you’ll usually still pay for searches if the purchase falls through. Surveys A survey is optional but recommended. A Homebuyer Report usually costs £400 to £1,000, while a more detailed Building Survey will cost around £700 to £1,500.These inspections can save you thousands by flagging issues such as damp, structural problems or outdated wiring. Mortgage Fees Mortgage arrangement fees vary widely. Some lenders offer fee- Shared Ownership Options Q I am a first time buyer – can you tell me what options do I have once I’ve bought with Shared Ownership? Elizabeth Drew, Sheffield A One of the many great things about Shared Ownership is that when you’ve bought a home, you are frequently saving money compared to renting, as the combined mortgage and value-linked rent are often less than private rents.This allows you to save up money that you can use to continue climbing the homeownership ladder. If you want to stay in your Shared Ownership home you could use this money to staircase up, after you’ve lived there for a specified amount of time.This means you can buy another share, increasing the overall share you own, and of course decreasing the rent you have to pay at the same time! Many housing providers will allow you to staircase all the way up to 100%, allowing you to own your home like normal with no rent to pay, although there are different models for how you can achieve this. Other housing providers put a limit on the share you can own, to ensure that the Shared Ownership home is still available for other first time buyers or those with affordability barriers. Alternatively, the savings you build up when living in a Shared Ownership home could allow you to move to a new home that
you buy with full ownership, requiring you to sell your Shared Ownership home. In that case you will need to start by contacting your housing provider, and they will often try to find a Shared Ownership buyer for you. If your housing provider doesn’t find a buyer, you can look to sell yourself – privately or through an agent, once you have a surveyor’s valuation to establish the value of the share you own. Experienced Shared Ownership agents like our team at LSL The SO Hub can be the best option when selling a Shared Ownership home, as there are extra regulations and eligibility criteria to satisfy. A specialist Shared Ownership agent will be able to ensure that the buyers they find are eligible for the home, and have the correct mortgage in place, helping a sale to go through quicker and smoother.
Paul Warren
free deals, while others charge £1,000 to £2,000.There may also be valuation fees, and if you use a broker, check whether they charge a fixed fee or take commission from the lender. Home Buyers Protection Insurance Fall-throughs are common – almost one in three purchases collapses before completion. For a small upfront premium of £74, Home Buyers Insurance can reimburse you for key costs such as surveys, legal fees and mortgage valuation fees if your purchase doesn’t go ahead. Insurance and Moving Costs You’ll need buildings insurance from the day you exchange, as well as removals, packing materials and storage if needed.These costs often add up faster than expected. To get a clear picture of what your move will really cost, try our Moving Costs Calculator. And remember – it always pays to shop around.You can compare and get quotes for solicitors, surveys, removals, mortgages and more directly through the HomeOwners Alliance website at hoa.org.uk
Paula Higgins
First Time Buyer February/March 2026 95
Made with FlippingBook Digital Proposal Creator