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How to survive the house buying process

how to survive the HOUSE BUYING process. Between organising your finances, making payments, arranging legal support and moving your belongings, buying a house can be an incredibly stressful time. Read our tips for surviving the house buying process and ensuring everything runs as smoothly as possible. Facts and figures about buying a property The housing market is usually at its quietest during December, January and September. Typically there is less competition during these months which gives buyers more bargaining 8.3% power. In 2014, the annual house price growth for the UK was 8.3%. 4% Analysts are however, predicting slower growth in 2015, with experts predicting an increase of around 4%. Finance options Fixed Rate Mortgage Buy-To-Let Mortgage Interest-Only Mortgage Bridging Offset Loans Mortgage Costs involved with purchasing a new house An arrangement fee goes to your lender for arranging the mortgage and is typically around £1,000 although this can be higher dependent on the amount you are seeking to borrow. House Surveys and valuations can cost between £400 and £1,000 although they can be higher on a more expensive property. A lender will want a valuation to ensure that the property is good security for the money it is lending. If the property you are buying iz over a certain price, you will have to pay Some lenders contribute towards legal fees, but if you are paying for this yourself, you can expect to pay between Stamp Duty Land Tax. The amount you have to pay is worked on a percentage basis depending on the value of the house. £500 and £800. Timescales Typically the house buying process can take from 6 weeks up to 8 months. Some transactions can be more compicated than others. FIND A PROPERTY YOU PUT IN AN OFFER ARE INTERESTED IN BUYING 4 SEEK FINANCE E.G. OFF-SET, BUY TO LET YOUR SOLICITOR THE OFFER IS АССЕРТЕD CHECKS ANY LEGAL ISSUES OR EVEN BRIDGING FINANCE 6. 7 EXCHANGE - THE COMPLETION - THE BALANCE DEPOSIT IS PAID IS PAID AND YOU BECOME THE OWNER Пра fог а зиссезful purchase tip 1 NEGOTIATE tips Everyone wants to save as much money as they can when buying a house and there is no harm in trying to negotiate on the price. tip 2 RESEARCH Carrying out research before putting in an offer can be of considerable benefit. Look at comparable houses that have sold in the locality and they price at which they have sold. Take into account aspects of the house such as: • Size • Location tip 3 SURVEY Have a surveyor look over your prospective home to give you a clear idea of exactly what condition the house is in. tip 4 CHOOSE THE RIGHT SOLICITOR Make sure you carry out research and find a trustworthy solicitor. When you require a solicitor for conveyancing purposes, it is good practice to consult a local solicitor who will be familiar with the area. Property Chains A property chain occurs when the sale of a house is dependent on another transaction, or transactions. • Sometimes a property chain can involve up to 6 houses, in some cases more • The chain Collapses if one of the house sales in that chain is no longer proceeding • If this happens at a late stage, you may lose money If you find your dream home but you are struggling to sell your existing home, people often take out a bridging loan to enable them to go through with the purchase. In this scenario, there may be no property chain or the property chain is small. Auction Purchases Buying property at an auction is a great way to achieve a deal that might otherwise have been unattainable when purchasing a new home. There are bargains to be obtained at auctions, including great refurbishment projects, however, auctions can sometimes be a trap for the unwary. It is vital that you are prepared and know what to expect because once the hammer falls there is no going back - at this point you are legally committed to buying the property. Some simple steps to follow: STEP ONE: FIND AN AUCTION AND STUDY ITS CATALOGUE STEP TWO: ARRANGE VIEWINGS AT THE PROPERTIES YOU ARE INTERESTED IN STEP THREE: DO YOUR RESEARCH - COMPARE THE PRICE AND CONDITION TO SIMILAR PROPERTIES STEP FOUR: MAKE SURE THAT YOUR SOLICITOR REVIEWS THE LEGAL PACK FOR THE PROPERTY OR THE PROPERTIES THAT YOU ARE INTERESTED IN BEFORE YOU GO TO THE AUCTION STEP FIVE: ARRANGE YOUR FINANCES PRIOR TO THE AUCTION. YOU WILL NEED A 10% DEPOSIT ON THE DAY STEP SIX: ON THE DAY, YOU WILL NEED TO REGISTER ON ARRIVAL STEP SEVEN: WHEN BIDDING, DO NOT GET TOO CARRIED AWAY - MAKE SURE YOU GIVE YOURSELF A BUDGET THAT YOU STRICTLY CANNOT GO OVER Financing an auction purchase After paying the 10% deposit on auction day, you will have 28 days to pay the remaining 90%. That is a short period of time to arrange a high street loan and indeed that may not be possible. Bridging loans can offer a short term solution and if needed can be arranged within a matter of days. Sources http://www.thisismonoy.co.uk/monoy/mortgageshomo/articlo2894203/Hold- tight-bumpy-year-proporty-markot-Six-housing-factors-considor-making-2015.html http://www.bbc.co.uk/nows/businoss-30422517 http://www.tolograph.co.uk/financo/porsonalfinanco/housopricos/11316435/ House-pricos-the-bost-timos-to-buy-in-2015.html http://www.monoysavingexport.com/mortgagos/houso-buying-guido http://www.monoysavingexport.com/mortgagos/buying-a-homo-timolino http://www.primolocation.com/discovor/buying/how-to-buy-a- proporty-at-auction/#c5VlmVh@wujo5tzz.97 YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE Affirmativo Financo Limitod Rogistorod in England and Walos (Co No 5044363) Rogistorod Office 7 St Jamos Square Manchostor M2 6XX Authorisod and Rogulatod by tho Financial Conduct Authority TELEPHONE CALLS MAY BE RECORDED FOR TRAINING AND MONITORING PURPOSES AFFIRMATIVE

How to survive the house buying process

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An infographic from the team at Affirmative on how to survive the house buying process.

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