Is this enough to buy a house?

[missyp284]

Afternoon,

I'm a seriously stressed first time buyer. I've seen a new build house that I love and want to put down the reservation fee.
The best price I can get from the developer is £169,000 and it isn't part of any government schemes so the best mortgage deal I can get is with a 10% deposit.
I can get the 90% mortgage no problem. But, I've only got £18,400 in savings.

I know this covers the deposit, but will it cover all the other costs involved in buying a house?

Anyone in the know advise me please?

[BackforGood]

Depends on quite a few things......
are the cooker / fridge etc included in the kitchen?
What about carpets / floor coverings ?
Are you happy to start off with a couple of deckchairs and some bits and bobs off Freecycle, or are you expecting to furnish your house from shops?
Will you need to hire a van to move stuff in ?

You will have legal fees, searches etc. I'm sure somone will be along soon to give you some more up to date prices than I can.

When I bought my first property, one thing I hadn't budgeted for was the fact the energy companies wanted money up front, as I had no credit record.

[HerRoyalNotness]

When is the house ready? You may have time to save up for your legal fees etc....

[missyp284]

sorry, I should have said. I have all of my furniture, for all I'm a FTB I've been renting for a good while, always unfurnished properties, so thats all covered.

The new property will be fully carpeted and the kithcen is all fully integrated. It will be literally ready to move into.

I was thinking along the lines of extra costs for legal fees, etc as I've no idea what I should be budgeting for all of the 'extras' on top of my deposit.

The house is pretty much finished. It just need me to choose my kitchen and flooring and for that to be fitted. So max 6-8 weeks really.

[FrightRunScream]

When we moved 8 years ago, I seem to remember the extras were about £3k. So maybe budget £5k? Who is paying stamp duty?

[WiseKneeHairStandingOnEnd]

Are you sure you can get a 90% mortgage?
We bought a new build a couple of years ago and couldn't get more than a 80% mortgage because it was a new build. AFAIK, the mortgage companies think they are over priced and want more equity before lending on them.
Iyou need to pay stamp duty, you will probably short, otherwise you might just about manage it.
Good luck.

[Rombo]

We are in the process of buying a new build and our fees are around £1700 inc legal fees and searches, etc.
stamp duty is on top of that
Our solicitors has a conveyancer specifically for new builds which is slightly cheaper.
Our mortgage is 85% but they were also offering 90% if we needed it. Our mortgage is fee free but you may need to factor in mortgage fees too?

[kid]

Check with your bank, but if the carpets are included in the new build, this can have an effect on your mortgage that they offer you.

When I enquired, I think the fact that the new build offered new carpets meant we couldn't taken advantage of the 95% mortgage but as you aren't able to take advantage of that offer anyway, it may not effect you.

I spoke to a mortgage advisor today, I didn't really understand a word of what they said!

[PurpleCrazyHorse]

We added some of our costs onto our mortgage as we used almost every penny for the deposit. Other costs: legal fees, mortgage fee, broker fee if you used one, survey, stamp duty, moving costs (van, packing materials).

We also spent a bit on takeouts while we unpacked and found the local supermarket. Bills were also quite expensive to start with as we had no history in the house for energy direct debits in particular.