No matter how you choose to finance the purchase of your property, there will always be some unavoidable costs and expenses. We have detailed below the most significant costs that you are responsible for paying.
Stamp Duty Land Tax
Stamp Duty Land Tax is a tax payable on all residential purchases (unless a property falls within an exempt area or the purchase price is below a certain sum). The rate of tax payable may change from time to time and you should consult with your solicitor to ascertain the rate currently payable. The Stamp Duty laws have been changed so that those financing property using Islamic finance were not further penalised. Stamp Duty Land Tax will only be payable on the transfer of the property to the Bank.
Valuation Reports and Survey
A property valuation will be necessary. The cost of this is detailed in our Payment Tariff leaflet.
Solicitor Fees
Because of the way Shariah compliant Home Finance products are structured, solicitors are not permitted by Law Society rules to act for both the Bank and the client. You should therefore budget for two amounts of solicitors' fees, being the Bank's and your own.
Energy Performance Certificates (EPC)
Since 1st October 2008, all homes require an Energy Performance Certificate when built or sold.
It will be necessary for you to obtain an EPC when refinancing your property to us.
We will advise you if an EPC is necessary and help you obtain this as appropriate.
