Top Tips for Buyers

  1. Budget for the move : find out how much you will need to pay and when. for an estimate of the costs involved please contact our expert team
  2. Choose a good solicitor; the cheapest is not the best. You need someone that you can talk to and who keeps you informed about what is happening, we are sellected by many builders because of our
    expertise and we way we get you moved quickly and efficently.
  3. Plan ahead you may time off work to actually move or to serve notice on your rented home.
  4. Tell your seller, your mortgage broker and your solicitor if you have a target date immediately and why this is
  5. Ask questions if you do not understand the process or what is happening; Knowledge = power
  6. Talk to the house builder they may offer removal services as a package deal and most recommend good moving firms and also hand out a moving checklist. Some good moving house websites including moveme.com and iammoving.com offer change of address forms and letters to banks and utility companies, names of removal firms and other invaluable advice. Moveme.com even sends you a free moving gift box and a moving planner.
  7. Be ruthless in decluttering and throwing out, giving away to friends or charity or even selling unwanted items at a car boot or garage sale; this will save you time and money in the move ; there is no point in paying to move junk you do not need and do not use.
  8. pack the kettle and tea and coffee making equipment, washing up bowl liquid and tea towel and some snacks, even maybe a bottle of fizz somewhere it is easy to access
  9. be organised and time and tears can be saved if you pack room by room and keep a list inside and separately for each box, maybe even pack boxes of essentials that you will need immediately separately to everything else.
  10. Moving is a stressful process but you can reduce the stress with a bit of planning
  11. Inspect your new property before you move in some alterations and adjustments may be necessary and it is probaly best to have them done if you can before you move in
  12. if you are separated or divorced tell your former partner and or spouse about the move in good time so that they and you can help the children with the move, remember you may well not be able to change the children’s school without their consent.

 

Q Shared Ownership what is it?

A it is a way of buying a home without paying the whole price straightaway

Q How is this done?

A it depends on the scheme; but there are two types of basic scheme

Q The Second Charge Scheme

This is often offered by builders. Here you pay to them a percentage of the market value of the property usually about 75 to 85% to the builder to buy the property

Example

1 Happy Home is worth £100,000

You pay to the builder £75,000 you can borrow this on a mortgage to the Lender

You give the first mortgage to the Lender ie you agree to pay them back the £75,000 you borrowed plus interest

You give the second mortgage to the Builder but this is for 25% of the market value of the property whe it is sold or the 10 years have passed. if the property has gone down in value you will pay them less , if the property has increased in value you pay them more than £25,000

When you sell your home or after 10 years you pay off the first and second mortgages

Will I still need to pay a deposit?

Yes this is likely to be required, and is usually 5% of the purchase price of the property but the builder may pay this for you as an incentive

What if I extend or improve my property?

You will not usually be liable to pay back any money made on the basis of home improvements (e.g. the addition of a conservatory or loft extension) insofar as increases the value of your home. The valuations will be based on the value of the home as constructed at the time of purchase, based on reasonable maintenance and wear and tear.

YOU MUST TAKE LEGAL ADVICE BEFORE YOU USE ONE OF THESE SCHEMES SO THAT YOU UNDERSTAND THE EFFECT OF IT

The Staircase Arrangement

This is normally only offered by local authorities or housing associations

Here you buy part only of the property and the rest is leased to you.

Example

Fred and Wilma buy a property under this scheme they pay 50% of the purchase price and they are given a lease for the rest

Q Do they pay rent?

yes they pay half of what the rent would have been

Q Can I buy the property outright?

Yes you can elect to buy 25% shares until you own 100% of the property

Does the rent go down if I buy another 25% share

Yes if you have 50% and buy 25% you only pay 25% of the rent

Q Will my mortgage lender lend on this type of scheme?

Usually yes , but you will need to check with your lender

For more specific advice on either scheme please contact our expert conveyancing team on hugh.jenyns@forths.co.uk tel: 01642 784000