How do You Know if You Can Afford a New Home?

Perry   July 12, 2018   Comments Off on How do You Know if You Can Afford a New Home?

For the vast majority of us, our homes are the centre of our world.  The source of countless memories, as well as somewhere all of our most treasured possessions, can be found.  But, like most things in life, the world will move on and situations and needs change.  Much of the time we are very capable of adapting that which we already have to suit these developments, but there is always a time when moving on is the only option.  When this applies to something as complex as moving home, it feels as though there is an endless stream of considerations and expenses that have to be catered for.  So having a good idea of what these are before you start is essential to your ability to plan your move. 

Establishing expenses 

Many of the expenses you will incur when moving are largely the same as when you bought your first home, there are just a few more of them.  Any property purchase that involves mortgage lenders will encompass various establishing fees that allow the products to be finalised and ultimately the sale to go through.  Fees such as loan establishments, insurances (Lenders Mortgage Insurance is particularly important), conveyancing fees for your sale property and any inspections prospective buyers might insist on.  Making sure that you are not only aware of these costs but actively inquire if they are going to apply is very important to your budgeting, and if you are unsure then your loan provider, such as Mutli Choice, will be able to help clarify things. 

New home expenses 

Assuming you are capable of getting everything together that you need to enable your move, you still have to contend with the expense of moving into your new home.  Getting your worldly possessions from your old home to the new one can be an easily overlooked expense.  You might be able to handle this yourself, but if not then you are going to have to pay a removal company to help.  Aside from this, most utility suppliers will charge you for moving your account as well as possibly having to clear outstanding balances.  Even with all of these taken care of, you will still need to inform your insurance providers of your new home and circumstances, this can result in premium changes; there is also a possibility that your premiums could lower, so that’s a reason to hold out hope. 

Make sure it’s worth it 

With all of these costs involved, moving home is not something to be undertaken lightly, but that should come as no surprise to most of us.  If you do need to move, it is always worth making sure of your budget and the expenses you are going to incur before signing on the dotted line.  Most importantly, do not simply jump at the first property you see, take your time and wait until the perfect one comes along.  One that can feel like home.