Understanding Costs

Most mortgage lenders used to ask for a minimum 10% deposit on a new home, but with the government-backed Help to Buy scheme and the UK Government's new Mortgage Guarantee scheme, an Erris Home could be yours with only a 5% deposit.

The Help to Buy Equity Loan scheme is available on new-build homes valued up to £228,1000 and is for first-time buyers only. Learn more about Help to Buy here.

The new Mortgage Guarantee scheme incentivises lenders to offer 95% mortgages to potential homeowners. Learn more about the Mortgage Guarantee scheme here. 

Good news! The UK Government has extended the Stamp Duty holiday across England until 30th June 2021, meaning you won't have to pay any stamp duty on a new home up to £500,000!

From 30th June to 31st October, the government will also raise the threshold on which homeowners will pay stamp duty from £125,000 to £250,000, meaning you only start paying Stamp Duty on the value of your home over £250,000. 

The rules around Stamp Duty will return to normal on 1st November 2021. If you are first-time buyer and your new Erris Home is under £300,000, you won’t need to pay stamp duty at all.

If you are already a homeowner, you can expect to pay stamp duty when buying a new home over the cost of £125,000.

Use this handy Stamp Duty calculator see how much you can expect to pay.

Your mortgage lender will ask to value your new home before they lend you any money – this is called a valuation. Although some lenders will offer free valuations, many others will charge and you can expect to pay between £150 - £200 based on your home’s value.

Be aware that when purchasing a new-build Erris Home, you do not need to hire a surveyor as the home will have already undergone rigorous checks and comes with a 10-year Premier Guarantee warranty. However, some of our customers do wish to conduct surveys on their new homes simply for extra peace of mind – if you wish to do the same, we’d recommend budgeting an extra £250 - £600.

You will need a solicitor to carry out the legal process of buying a new home (and of selling your current home if you are already a homeowner). Your solicitor will assist in the legalities of buying your new home including everything from Stamp Duty and Land Registry to conveyancing and everything in between. Costs will vary depending on whether or not you have an existing home to sell, but you should expect fees to be between £500 - £1500 plus VAT.

Some mortgage lenders also charge a fee for transferring your mortgage money to your solicitor – the usual cost for this is around £40 - £50.

If you have a property to sell, estate agent fees will be an extra expense on top of buying a new home. These fees depend on the estate agent you wish to use, but these fees usually range from 1-3% of the sale price plus VAT.

Is the thought of selling your current home giving you a headache? Let Erris Homes take the weight off your shoulders with our stress-free Smart Move scheme! We’ll take care of everything from agreeing a valuation and marketing plan for your current home to negotiating the sale and contributing to estate agent fees.

Your mortgage lender will ensure insurance is one of your key priorities when buying a new home, but this doesn’t mean you have to buy insurance from them. Shop around for a deal that works for you and your family.

We would also recommend content insurance to cover the cost of repairing and replacing treasured household items, and you’ll be able to bag a bargain when combining this with building insurance too!

Unless you’re recruiting friends and family to help you move into your new Erris Home, removal costs can usually be anywhere from £300 - £2000 for professional removers. 

If you're a first-time buyer, it might be worth the extra effort to move yourself for free or use the van of Mum and Dad!