Owner costs Shared costs As with any property purchase there are a number of costs involved when purchasing a Shared Equity UK home. Some costs are shared between both Co-Buyers, according to the ratio of ownership, and some are borne by the Home-Buyer only. Equally there are some Investor-Buyer only costs. The shared costs include legal fees, land registry fees, searches and stamp duty. Home-Buyer only costs Home-Buyer only costs which are not shared include removal costs, insurance of your buildings and contents, decoration and general property maintenance costs. Shared Equity UK does charge Home-Buyers an initial Commitment Fee which as the name suggests, provides commitment to The Scheme and is only refundable in the event you are turned down by the Lender. A final purchase fee is also payable on completion of your home purchase. It is important you request an illustration from us in the first instance, outlining your costs and disbursements associated with your purchase before deciding to commit fully to the Shared Equity Uk scheme. Register today! without obligation indicating your interest as a Home-Buyer, Let's Move will send you an information pack and an illustration completely free or Contact Us for a friendly discussion to determine if The Scheme is suitable for you.
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Related site links: Outline of costs Below is a table which outlines the costs associated with your initial purchase and ongoing costs once you move into your new home. In most cases the full purchase costs are divided by both the Home-Buyer and the Investor-Buyer dependent on their Co-Buyers Share of the Property. Shared Equity Sales fee When you decide to sell the Property there is a 1% Sales Fee (minimum £1,500) shared between you and your Investor-Partner, in accordance with your agreed share. All fees are clearly defined in our Information Pack which you should read carefully.
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Who pays what with Shared Equity UK
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Example of Expenses
When Purchasing A Property For £132,800 |
Total Amount (100%) |
Home-Buyer Payment |
Investor-Buyer Payment |
|
| Price | £132,800 | 50% | 50% | |
| Conveyancing Fees* | £400 | 50% | 50% | |
| Personal Legal Fees* | £400 | 50% | 50% | |
| Stamp Duty | £1,328 | 50% | 50% | |
| Valuation Fee | £250 | 50% | 50% | |
|
Completion Fee (2% of The Properties Valuation Price +VAT) |
£3,121 | 50% | 50% | |
| Removal Costs* | £750 | 100% | 0% | |
|
Instruction Fee (Includes VAT). |
£1,000 | 50% | 50% | |
| Mortgage Advisor* | £599 | 50% | 50% | |
| When Occupied (Per Month) |
Total Amount (100%) |
Home-Buyer Payment |
Investor-Buyer Payment |
|
| Utilities* | £160 | 100% | 0% | |
| Maintenance* | £25 | 100% | 0% | |
| Buildings Insurance* | £8 | 100% | 0% | |
| Contents Insurance* | £8 | 100% | 0% | |
| Council Tax* | £53 | 100% | 0% | |
| Mortgage Payment † | £597.60 | 50% | 50% | |
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Investment Return (Your Share of The Mortgage Plus An Additional 1% Over The Interest Rate). |
£348.60 PCM |
100% (Paid To Investor-Buyer) |
Receive 100% From Home-Buyer | |
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Management Fee (8% of Investment Return). |
£27.89 PCM | - | 100% | |
| When Selling |
Total Amount (100%) |
Home-Buyer Payment |
Investor-Buyer Payment |
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| Estate Agent* | 1%-2% | 50% | 50% | |
| Sellers Pack* | £44 | 50% | 50% | |
| Legal Fees* | £500 | 50% | 50% | |
| Sales Fee | 1% | 50% | 50% | |
| Removal Costs | £750 | 100% | 0% | |
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* Estimated.
† Based on a 90% mortgage with a interest rate of 6%. Not to be
seen as a guarantee.
The above tables are for indicative purposes only, and does not form part of an offer or contract or constitute financial advice.
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