Before finally deciding how much to spend on a property, you need to be sure you will have enough money to pay for all the additional costs.

Additional costs

Additional costs when buying may include:

• Stamp duty
• Fees charged by the mortgage lender or someone who arranges the mortgage (e.g. mortgage broker)
• Solicitor’s fees
• VAT
• Removal expenses
• Any final bills, for example, gas and electricity, from your present home which will have to be paid when you move

You should be aware that you may still have some costs even if your bid for a property is not accepted, for example, you may already have paid for a valuation and/or survey. Also if your solicitor has started any legal work you may also have to pay for the work that has been done.

Running Costs

You should also take into account the running expenses of the property you wish to buy. These may include:

• Heating bills
• Council tax
• Insurance - building, contents and life.