HomeBuy Agent

HomeBuy agents are appointed by the Homes and Communities Agency as one-stop-shop providers for affordable home ownership initiatives. HCA. The Homes and Communities Agency (HCA) is a government body that regulates and funds the HomeBuy initiative.

Staircasing

Staircasing is when you increase the share that you own in your home. Additional shares can be purchased in multiples of 10% and can only occur after the first year. If you increase your share in the property, your rental figure is re-calculated and reduced.

Valuation fee

The cost may vary from lender to lender, and according to the purchase price of the property. You will be asked by your lender to provide a cheque for the valuation when you make your mortgage application.

Legal fees and stamp duty

You will need to instruct a solicitor to act on your behalf. Disbursements (these are the costs that the solicitor pays on your behalf) such as Land Registration fees, search fees etc. will be charged in addition to the fee. Your solicitor will need to advise you on the cost of the stamp duty payable, if any. Catalyst will provide a list of approved solicitors who have thorough understanding of all HomeBuy products.

Mortgage arrangement fee

Your financial adviser will give you clear, up front information about how they make their commission. If you are dealing directly with a lender, ask them how much their arrangement or administration fees are.

Rent and service charge apportionment

Your rent and service charges are payable monthly in advance. This means that when you complete your purchase, you will need to pay the fees for the remainder of the month in which you complete, together with the following month's rent. Your solicitor will let you know how much this will be.

Reservation fee

This is paid to the housing provider to reserve your property and will be put towards the purchase. They reserve the right to retain this fee should you change your mind and withdraw from the purchase as we will incur abortive costs. Each housing provider will vary, please obtain classification before reserving a property.

Mortgage

The amount of your monthly mortgage payments will depend on the amount you have borrowed and the interest rate you are being charged.

Service charges

You may be responsible for the upkeep of your property (this includes inside and outside of your property). If your new home is an apartment, this may include cleaning, lighting and gardening of communal areas and if you live in a house on a new development you may pay a contribution towards the maintenance of shared gardens or parking areas. You will receive full information on the services and their estimated annual costs before you move in and you will be asked to make a monthly payment, usually together with your rent payment.

NHBC

The National House-Building Council, is the standard setting body and leading warranty and insurance provider for new and newly converted homes in the UK.