Moving into your new home

Our top tips

The weeks leading up to your moving in day can be busy and quite stressful.

Here are a few tips to help reduce that stress.

Make a list

Write a list of things you need to do before the move. Better still, use a pre-built checklist like this one (PDF, 46KB) from Lloyds.

Moving out of a rented property? The Money Helper site has a checklist for you.

Check practical details

Ask the seller if you need to, about:

• Where the gas and electricity meters are.
• Where the main stopcock is (to shut off / switch on the water).
• Bin collection days and arrangements.
• How the heating systems and any built-in appliances work.
• Whether there are any restrictions on parking (including the removals van).

Your repayments

When you picked a mortgage, the repayment amounts were something both you and the lender looked at. Now, it’s time to start paying them.

Making your first payment

Your lender will let you know the date that your first payment is due. Bear in mind that the first payment may be larger than the others. This is because it includes extra interest to cover the time between completion and the end of that month.

For example, say you complete your mortgage on the 20^th May. Your first (June) payment will include the interest from then to the end of May, plus your normal agreed repayment amount. After that first month, you’ll just pay the normal amount.

Set up Auto payments

You can arrange with your lender for your monthly payments to be on a date that works for you. For example, the day you get paid your monthly salary. Setting up a direct debit for this will help you make sure you never miss a due date.

Your lender will let you know before any changes that might affect the date or amount, like a rise in interest rates.

Check your mortgage statement

You’ll get a statement from your lender each year. This shows details of your mortgage, the payments you’ve made in the past 12 months and the amount you still owe, plus interest rates and any other charges during this time.

You can ask for a copy of this statement at any time. Some lenders let you do this online, or ask you to call them. They may also have an app where you can see these details at any time.

It’s a good idea to check your statement when you get it. This way, you can make sure everything looks right, and get a clear idea of your mortgage balance.

What to do if you're struggling

Rises in interest rates may make you worry about being able to keep making your mortgage repayments. Or you may feel your mortgage is at risk of being in arrears. Either way, there are steps you can take.  

The first thing to do is to let your lender know as soon as you can. You may be able to get help online. Alternatively, you could call, visit or write to them. 

They may be able to help you:

Other options

You may decide to explore other options.

Repaying your mortgage early

Once you’ve paid off your mortgage, you’ll truly own your home. No more repayments! For many, this seems a long way off. But some people are able to repay early.

If you have the money, you could:

• Increase your monthly payments.
• Pay an extra lump sum.
• Reduce the term of the loan.

Any of these options could save you money on the interest. 

Is there a charge for repaying early?

You may need to pay an early repayment charge (ERC) if you pay your mortgage off early. Depending on the mortgage deal, there may be an overpayment limit. This means you can overpay by a certain amount each year. If you go over that amount, you’ll be charged a fee. Always check with your lender before you start overpaying.

The costs of running a home

Recent research shows that households are spending an average of £1,564 a month on essential bills and outgoings. 

Of this, they spend:

Insuring your home

Your home insurance can help with the cost of loss or damage to your home and what’s in it.

There are two types of home insurance:

You may find you need to look at other types of insurance, too. For example, mortgage payment protection insurance. This covers your mortgage payments if you can’t keep up due to illness, injury or if you lose your job. Mortgage life insurance is slightly different. It covers your mortgage payments if you die before paying it off. You may not need it if you have life insurance, though.

Managing your household bills

Earlier in this chapter, we talked about the type of bills you’re likely to have as a homeowner. Managing these may feel daunting, especially if this is your first home. Where should you start?

Let's break it down into steps:

Want to know more?

Most banking apps have tools to help you see and manage your bills.

Look for features like:

• Tools to compare and switch providers.
• Personalised spending insights and budgeting tips.
• Tools to help you track and manage subscriptions.

Saving for home improvements

When you first move in, you may not have much money to spare. Moving home isn’t cheap. There are all those little extras, too. From replacement light bulbs to a takeaway on that first night, it all adds up. There may be bigger items to buy, too. Like a new sofa, TV or freezer. Plus, your budget might need to stretch further in your new home . So that new kitchen or garden shed you were planning may seem out of reach, for now.

But you can start planning and saving for these things. Putting a little money away each week or month is a good habit to start. And we have plenty of resources to help you get started.

When you need help

You may feel overwhelmed as a new homeowner. That’s perfectly natural. You’ve been through an exhausting process, from finding your new place to getting the keys.