By Andrew Fisher A.N.A.E.A.
1) The most obvious expenditure relates to the legal transfer of ownership to the buyer. Estate Agents spend hours helping you to find your home but charge nothing, solicitors and the government are not so generous. Solicitors will require payment for their time, plus recovery of any money spent on searches and office costs. Contact a few solicitors to get quotes before choosing one. The government will want "stamp duty" on most purchases over £125,000. The ‘initial' two bands are; up to £125,000 - free, £125,000.01 up to £250,000 at 1% of the whole amount. This means the total cost of an offer at £125,000.01 is £126,250. 01. For first time buyers their initial Council Tax bill is often a nasty surprise because of its size.
2) Other charges you may incur include finance - one off fees to arrange mortgage or loans, plus cheque/credit card payments for the numerous bills at this time in your life. After paying your home deposit, be careful not to get overdrawn on your bank and incur overdraft expenses.
3) From the moment of completion the property becomes yours. It is vital that you have adequate insurance in place immediately if it is a freehold. Should the property be leasehold, be sure (by asking your solicitors) if there is a block buildings insurance policy in place (usually part of the service charge) or if different arrangements apply.
4) Service charges should cover regular maintenance and eventual refurbishment after a number of years for leasehold homes. If you are purchasing freehold all these costs to take good care of the property will become due in time and savings must be adequate.
5) Actual running costs of homes differ sharply - gas, electricity, water for a 1 bed flat could be more than a 3 bed semi. If you are really intending to buy a particular place you could enquire about the bills at present. Be aware, with different lifestyles this might not produce a reliable guide.
6) Transportation may prove a surprising choice, but location, location, location! How much will it cost you to get to work, the shops, leisure facilities? Will public transport be enough or "must" you get a car? Can you get to your destinations in adequate time or will you have to resort to taxis?
7) Removal firms. Do it yourself, man with a van or a pan technicon with professional and experienced crew? Your choice, but whichever method you choose do consider not just the prices quoted but who will be carrying heavy items up steps and who will pay for goods lost or broken.
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Budgeting Your New Home 
