Upfront costs for buying a home?

Ok all you UK homebuyers - I need some advice. 

I'm trying to figure out when we'll be able to start looking for a house.  I've read all about the difficulties with getting mortgages and how much we'll need for the downpayment, but I have no feel for how much we'll need for upfront costs.  Someone told me to estimate about £2000 plus the cost of stamp tax if it applies.  Does that sound about right?

We are looking at homes in the £100k range.  I've read that stamp tax applies to homes over £60k in some places and £120k in others.  Which is right? 

Thanks a lot.   

i think you're getting conflicting info because in the Uk if the house you indent to buy is in a disadvantaged area you are exempt from stamp duty if the purchase price is below £150,000.  the below link has a search feature where you can search by postcode.

but in general- the stamp duty in the UK is:
http://www.direct.gov.uk/MoneyTaxAndBenefits/Taxes/BeginnersGuideToTax/BeginnersGuideToTaxArticles/fs/en?CONTENT_ID=10010529&chk=5VuatH
0% for homes over £120,000
1% for homes between £121,001 - £250,000
3% for homes between £250,001 - £500,000
4% for homes over £500,001

once i'm home with my money spreadsheets i can do a list for you of the soliciters fees, land registry fee, searches, mortgage valuation, homebuyers survey, mortgage set-up fee, etc... adds up. off the top of my head all the above (including stamp duty) was £4,000

Hi there!
I'll take a stab at this, although I'll probably miss some elements!

From memory when I got my rental apartment the 'costs' that went out of my pocket rightaway were

1. 10% deposit
2. An 'Arrangement' fee

The cost of the lawyers, the mortgage arrangement fee (different from the 'fee' above) with the bank of scotland, cost of the survey etc were all bundled into my mortgage amount.

now my 'situation' was a little different to most - but I hazard a guess that in 'normal' circumstances of doing the whole mortgage thing, various costs will need to be paid as and when. Stamp duty I'd have thought could be bundled into a mortgage as well, if not it'll be made clear to you when you have to pay it. I forget the 'rates' of stamp duty, from memory I 'think' the 1% threshold is at £250,000 and it's 4% of the value of properties above £250K. These figures may of course have changed so best to speak to a mortgage advisor or have a look through the various property magazines you can pick up in WHSmiths.

'Hidden' costs I'd say would amount to things like insurance policies that the lenders sometimes try to tie you into, advice is that you should shop around first to see where you get the best deal.
'Extra' costs I'd say would be things like moving costs, renovation costs you may have thought of 'since' viewing a property, getting extra keys cut etc etc. All those can add up.

Good luck !

Cheers! Dennis! West London & Slough UK!!

The £2K figure you've been given 'could' be about right. I suggest you speak to the mortgage lender to see how they operate and what conveniences they may offer.

my solicitor was adament that I needed the £1,900 stamp duty right away.  i couldn't tack that onto the mortgage. perhaps some mortgage companies let you, but mine (abbey) wouldn't.

some other things, like mortgage arrangement fee I could tack onto the mortgage (thereby increasing my mortgage by the correct amount.)

We've had to pay £285 for the mortgage survey/valuation, £599 for the mortage arrangement fee (though that can be added to the mortgage), £200 to retain the solicitor (applied toward the final bill, of course), and £250 to reserve the house (will go toward deposit).

We'll pay the remainder of the solicitor's fees (including stamp duty) and the deposit upon completion.

Wow, is it this difficult to rent an apartment/flat in the UK? We are still looking into the areas of Newcastle, Leeds, and possibly Scotland. We both are full time employed here in Stockholm, Sweden and we have great references. Will it be hard to rent an apt in N. England or Scotland?

It's not hard to rent at all, though you may find it somewhat difficult if you're looking for something very large or have pets.  We're talking about the cost of buying, rather than renting.  www.rightmove.co.uk can show you what's to let in a particular area.