Guide to Moving Home

02/01/2020 by

Leanne Dewey, one of our expert mortgage advisers, explains everything you need to know about Moving Home.

Video breakdown:

0:46 – Porting Your Mortgage When Moving House
1:03 – Reasons Why You May Not Be Able to Port Your Mortgage
1:29 – Restrictions with Porting Your Mortgage
2:02 – Moving Home and Getting A New Mortgage
2:29 – You Could Change Lenders
2:42 – You Could Switch to A Different Type of Mortgage Product
3:03 – You Could Choose a Different Interest Rate
3:28 – Tips For Moving House and Searching for a New Home
4:13 – Second Viewings
5:05 – Your Home’s Best Features
5:27 – Valuation
5:54 – Advertising Your Home
6:18 – Show Your Property in Its Best Light
6:41 – The Cost of Moving House
8:12 – Managing the Chain
8:40 – How to Remain Informed Throughout the Process
8:58 – Don’t Be Afraid to Chase People Up
9:07 – Learn as Much as You Can About Everyone’s Diaries
9:16 – Put Clauses in Your Selling Contracts
9:25 – Fix Big Problems as Soon as You Can
9:36 – Have a Backup Plan
9:54 – Moving House Checklist
10:08 – 6 Weeks Before You Move
10:31 – 4 Weeks Before You Move
10:55 – 1-2 Weeks Before You Move
11:27 – On the Day You Move
11:49 – Change of Address When Moving House
12:39 – Summary

View Transcript

Even if you been a homeowner for some time, the process of buying and selling your property is always daunting, we’ll explain how it all works in this guide.

Whether you’re a seasoned pro or this is the first time you are selling a property, our guide will take you through the journey. We will tell you how your mortgage could be affected, highlight some things you need to think about, run through the costs, and outline a few practical moving house tips.

  • Porting your Mortgage when Moving House

Many mortgages are portable which means that you can transfer your current mortgage product to a new property. You need to check with your lender or broker about whether your mortgage is portable.

  • Reasons Why You May Not Be Able to Port Your Mortgage

Sometimes your lender won’t allow you to put your mortgage to a new property even if it is possible, this could be because:

The lender might find the type of property you want to buy unacceptable.

You may no longer qualify for example you may have a new profession or recent credit problems.

The lender may have changed their criteria.

  • Restrictions with Porting your Mortgage

You might not be able to borrow more money. If the lender has tightened their affordability rules, then you may not be able to borrow the amount of money you need.

You could end up borrowing at a poor rate of interest. If you can port and be able to borrow more money don’t forget you’re already tied to a lender so you have to choose the rate that the lender offers you this may not be the cheapest available, leaving you start paying a higher rate of interest.

  • Moving Home and Getting a New Mortgage

There are number of options available to you, should you need an entirely new mortgage when moving home. However, it is important that you find out whether you face an early repayment charge if you choose to leave your current mortgage before the introductory period ends. But an early repayment charge could cost you a percent to drop the outstanding mortgage debt.

  • You could change lenders

If you can’t port with your current lender or they don’t have an alternative deal that’s suitable, then you can look elsewhere.

  • You could switch to a different type of mortgage product

It’s sometimes worth sticking with the same type of mortgage if it works for you, however personal circumstances change and you may find a different rate or term that suits you better, a mortgage adviser will listen to your situation, explain your options, and help you to come to the right decision.

  • You could choose a different interest rate

You don’t have to stick with the same interest rate product when you take out a new mortgage only if you port your existing one. You can choose from any available products your lender has to offer these can be fixed variable tracker or discount, your mortgage broker will help you choose the best one that suited for you.

  • Tips for moving house and Searching for a New Home

When looking to buy a property it’s worth consulting with an estate agent, they’ll be able to keep you updated on any suitable properties and liaise with the sellers. Don’t be afraid to tell the estate agents exactly what you want and asked lots of questions. A few things you should ask your estate agent about are:

They are for example: are the local schools good? Are public transport links good?

Inside the house - what’s the average cost of utility bills? Is the property insulated?

Outside the house - Is there a burglar alarm fitted? Do the doors have sturdy locks?

After viewing a house you’re likely to have made 8% of your decision on whether to buy but minor factors such as weather can affect the way a property comes across in a certain day, so it’s always valuable to go for a second viewing. It can also be valuable to go back after you’ve had an offer on a home and receive the surveyors report, in order to assess any possible problems.  

  • Selling your current home

Finding a new property is normally the fun thing it’s easy to get caught up in the excitement, but just ensure that you give equal attention to selling a property, after all you want to get a good price for it to cover as much as the cost of the new home as possible. Important elements in selling a property are:

Whether your house is in a good location for local schools, or you’ve recently had at least a competing system or a burglar alarm fitted. Make sure you mention them in your advertisements or tell your estate agents that they can make these features clear to prospective buyers.

  • Valuations

The best way to ensure your property is on the market for a reasonable amount is to have a valuation and to ask your estate agent about the local market, just to see how your house compares. We recommend having at least three valuations from three different estate agencies, so you can then average the figure rather than rely on a singular opinion.  

  • Advertising your home

You can advertise your property yourself or have your estate agent do it, it’s a smart move to use your estate agent as they’re likely to have an encouraging reputation. It is good to be aware that your estate agents are likely charge you for advertising, usually around 1.5%.

  • Show your property in its best light

You’re more likely to sell your home quickly and for a good price if it’s looking its best when people come to view it. We recommend you declutter any rooms, complete any DIY jobs, keep the garden tidy and add any finishing touches to make property look as attractive to possible buyers.

  • The cost of Moving House

Moving home is not only stressful, it’s expensive. Here are some stats just to give you a better idea of what you’d likely to spend:

The estimated cost of moving house in 2018 was eight thousand eight hundred and eighty-five pounds and sixty-six pence, based on the average UK property price in 2018. This includes all necessary fees you have to pay to move home.  

The cost of buying a property is approximately three thousand to three thousand five hundred pounds. This includes costs such as stamp duty deposit property surveyors’ conveyancing and evaluation things.

The cost of selling is approximately four thousand to four thousand five hundred pounds. This includes estate agents’ fees, conveyancing, EPC, etc.

Moving costs are around one thousand to one thousand five hundred. This includes hiring a removal company and postal redirection.

It’s also important to be aware of any additional costs you may have to pay. For example, HM Land Registry fee, electronic transfer fee, mortgage arrangement fee and broadband set up costs. The amount you pay will depend on the services you use.

You can’t cut certain expenses completely, but you can reduce them by comparing providers we recommended to obtaining at least three quotes per service. Here at John Charcol, we can help you organize everything and that’s from finding a moving company to setting up your bills with our free concierge service.

  • Managing the chain  

The property chain refers to the number of properties involved in a sale, for you moving home will likely involve selling one property to move into another one, but the people will buy your property from will likely be moving into a new place themselves, and people buying your property will be moving from somewhere, making up a large chain of people who all need to complete on the exact same day.

  • How to remain informed throughout process

Stress is inevitable when moving home, the good news is most of the contractual stuff will be taken care of by your solicitor. Here is how to stay on top of everything and remain informed throughout the process.

  • Don’t be afraid to chase people up

If you haven’t heard from our conveyancer in a while, give them a call to find out what’s going on.

  • Learn as much as you can about everyone’s diaries

For example, if you know someone’s conveyancer is on holiday, you’ll be aware of this delay in the process.

  • Put clauses in your selling contracts

This puts pressure on others in the cain and reminds them to stay on top of things.

  • Fix the big problems as soon as you can

Hopefully your survey will give your property a good review, but if things do need to be fixed, it could cause someone to pull out and destroy the chain.

  • Have a backup plan

Only take your property of the market once your buyer has a decision in principle as it less likely their back out. Similarly keep an eye on other properties you could make move on quickly, should your property fall through.

  • Moving house checklist

You don’t have to do everything at once when you move home, there are different stages. We’ve outlined what you need to do as you approach a moving day:

  • 6 weeks before you move you should

Obtain quotes on removal costs.

Make an inventory of your possessions.

Decide what you’re keeping and arrange to get rid of the things you no longer want.

Start to clean out cupboards and gather belongings by room.

Collect packing material like boxes and bubble wrap.

  • 4 weeks before you move

Finalise the exchange of contracts and moving date with your lawyer.

Book a removals company.

Start physically packing non-essentials.

Contact utility suppliers to tell them the date you’re moving out.

Arrange for Buildings and Contents Insurance to be set up for the day you move in.

  • 1-2 weeks before you move

Settle all bills and contact companies to let them know you’re moving.

Contact postal redirection services.

Pack everything, label the boxes and make a list so you know everything in each box.

Make a box full of essentials you’ll need access to on the day you move. For example, toilet roll, bedding, and plates etc.

Organise important documents where you can easily access them.

  • On the day you move

Leave all sets of keys with the estate agents you’re selling through.

Check all windows are secure and utilities switched off.

Locate meters and take readings in your new home.

Ensure you have the keys to every door.

Account for every item in your inventory.

  • Change of address when moving house

When you move house, you need to inform pretty much everyone on your change of address. Some examples include:  

Personal, work and education – This includes family and friends, your employer, schools.

Government bodies and organisations – This includes DVLA, Electoral roll, TV Licensing and Local Authority.

Finance – This includes Banks, Insurance providers, Pension services, Student Loan services, Utility suppliers, bills, phone, TV, and Broadband.

Health Services – This includes doctors, dentist, optician, and vets.

Others – This includes gym, subscriptions, clubs and services.  

  • Summary

So that was our guide to moving home, thank you so much for checking out our video. If you want to watch more videos like this, then please subscribe and turn on your post notifications, that way you’ll receive a notification next time we post.

Be sure to follow @JohnCharcol on social media to keep up to date on all the latest JC news, see you next time, bye.