Anyone that has ever moved home will agree that the costs can soon add up. In fact, it nearly always costs way more than you think it’s going to cost. However, there are a few clever things you can do to ensure you cut the costs of moving home significantly. Want to know how to do it? Read on for 7 ways you can cut the cost of moving home:
1.Watch Out for Good Offers from Lenders
Before you select a lender, make sure you do your research first. For example some banks will tell you that they’ll pay off a portion of your stamp duty. This could be anything from 1-3% on properties, depending on how much they cost. Many other lenders will help you with the actual cost of moving. Make sure you know what’s available to you and take advantage of it.
2. Select the Right Survey
When your offer has been accepted, you must get a survey. This is a compulsory thing. However, there are 3 kinds of survey, so you need to make sure that you select the right one. There’s the mortgage valuation survey, which is carried out for the lender to make sure that the property is worth the price you’ll pay for it. There are then the more thorough homebuyer surveys and structural surveys. These may pick up issues like damp, but will cost you more than £500. Make sure you pick the survey that applies to you.
3. Cut The Cost of Your Estate Agent Fees
Estate agent fees are one of the biggest costs when it comes to moving home – around 38% of your total expenses. Usually, you might pay the estate agents £3000 for helping you, but it could be a lot more if you’ve sold an expensive property. Online estate agents can sometimes be cheaper, as they don’t have as many overheads to pay. All they usually have is a website, so they can afford to charge you much less. You can even tailor the service to your exact needs in some cases, which means you’ll save even more money.
4. Avoid Fees on Your Mortgage
In the past decade, mortgage agreement fees have tripled. In the last year alone, prices have soared over 69%. You do have the option to add fees on to your loan instead of paying them straight away, but you must remember that you’ll be paying interest on them. This will work out to much more than you probably think all together. You could even take a look at fee-free mortgage options, where there isn’t an arrangement fee at all. Even if you must pay a bit more on your interest rate, a fee-free deal can suit people who have a smaller mortgage. This will totally depend on your individual circumstances, so make sure you do what’s best for you.
You should also try to get the best mortgage deal available to you. If you have equity in your home, then you probably have a good choice of deals. A fixed rate should give you peace of mind that your repayment isn’t going to shoot up over time, even if the interest rates begin to rise.
5. Cut Your Moving Costs
Using professional movers like http://www.thepromove.com/, for example, is a great help. However, of course it takes a chunk out of your moving budget. Make sure you get the best deal by looking around before settling. You can also see if the service includes packing, which could be a big help, and insurance in case anything gets broken. Get rid of things you don’t want to take with you by selling them or recycling them. You could make enough money to pay for the service if you get rid of enough!
You could possibly cut costs even further by packing your goods and transporting them yourself, but this will depend on how much stuff you have. Remember, you get what you pay for, so don’t automatically go with the cheapest removals firm. Asking friends for a recommendation is usually your best bet!
6. Carefully Choose Your Solicitor
Unfortunately, there are some bad conveyancer practices out there. This is why it’s important you choose your solicitor carefully when you move home. Bear in mind that if you go for a solicitor offering services at rock bottom prices, your money will be unlikely to stretch too far. When it comes to recommendations from family and friends to help you select your solicitor, it can be tricky. People don’t usually realize that they’ve been swindled until it’s time to sell the property. Ask yourself these questions when choosing your solicitor:
Do they sound like they know what they’re talking about?
Do they listen to you properly?
Do they make you feel confident about the whole situation?
Do they do what they tell you they’re going to do in good time?
If you can answer yes, then you’ve probably found a good solicitor to help you. If you select a solicitors who charge a competitive yet reasonable fee, and make sure your move is handled smoothly, you’ll be much happier. Not only will you cut the cost of moving home, but any future issues will be avoided!
7. Register for Your Bills On Time
Before you move in, make sure you’re registered for your council tax, gas, electricity and other bills. Do this as soon as possible and do it by direct debit to make sure you don’t miss a payment. If you don’t do this and fail to keep on top of the amount you’re using, you could get stung with a high bill a few months after you move in.
There you have them; 7 great ways you can cut the costs of moving home. Moving home can cost thousands upon thousands, especially when you take into account all of the fees added on to the deposit. It seems as if there’s an extra fee invented for just about everything!