What other costs are associated with buying a property?
There are a number of other costs, which you must factor into your budget when you are purchasing a property.
Valuation and Structural Survey Fees
Your lender will value your prospective house assessing it for a mortgage. This differs from an independent structural survey, which it is advised you carry out yourself to ensure that the property is structurally sound. A validation usually costs between €100 and €200, while a structural survey can cost between €300 and €400
Administration Fee
Some lenders can charge an administration fee for arranging the loan. This can be 0.5% of the total cost of the home loan.
Mortgage Indemnity
This is payable if the mortgage is for more than 75% of the property's value. It covers the higher risk that the lender is taking by advancing a larger loan.
Legal Costs
Solicitors Fees
Costs are generally around 1% or 1.5% of the purchase price (plus VAT). If, however you are also selling a house, further expenses will be incurred. It is standard practice for a solicitor to provide you with a quotation on request. You are also responsible for any outlay, title deed registration fees and search fees.
Stamp Duty on Property
You will get stamp duty details from your Solicitor
Insurance Costs/Policy
It will probably be required to take out a Life Assurance policy in the amount of your mortage so that your mortgage will be paid in the event of your death. You should also consider taking insurance for the contents of your property.
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