How to work out if Buying is Cheaper than Renting for you Checklist

publication date: Feb 14, 2013
|
 

Checklists

Checklist provided by 

www.propertychecklists.co.uk

 

 
 
Work out your rental costs for a full 12 months, including renewing your contract.
Calculate other bills you pay eg contents insurance, utility, council tax.
Find a property you would like to own.
  Search ‘house prices sold’ information eg mouseprice.com to find out what it might sell for.
  Calculate how much deposit you would have to put down on the property, eg 5% or 25%?
  Work out what the monthly mortgage would be now and when interest rates increase to 5%, eg you can use a mortgage calculator such as the BBC.
  Write down all of the costs you don’t pay now which you would pay if you
owned a property:
  • Water bills 
  • Buildings insurance
  • Other utility bills (especially if you rent a room with all bills included)
  • Service and ground rent charges if a flat or new build 
  • Renovation costs 
  • On-going maintenance eg £1,000 a year for a house more than 25 years old
  • Safety checks eg gas and/or electrics
  • New appliances which the landlord would have previously replaced.
Compare the upfront costs of buying including a deposit with the upfront costs
of renting.
Compare the on-going costs of buying versus renting.
If you have any queries, contact us and we’ll help you with the calculation.

 


All our information is brought to you by Kate Faulkner OBE, author of Which? Property books and one of the UK's top property experts.
This website is Copyright © Designs on Property Ltd and Propertychecklists.co.uk protected under UK and international law.