Before you start searching for your next home, it’s essential to understand all the costs involved in moving. Having a clear picture of the expenses means you’ll know exactly what you can afford and avoid any nasty surprises along the way.
This guide outlines the typical moving costs you may face. For an accurate budget tailored to your circumstances, we recommend speaking to a mortgage professional.
Want total clarity on your moving costs?
Book a no-obligation consultation with the financial experts at Ernest Grant Mortgages and walk away with a personalised moving budget and a clear idea of the properties you can afford.
Book your call with Ernest Grant here.
Deposit
When you buy a house, you need to pay a deposit, typically between 5% and 20% of the purchase price. This can be pulled from the equity in your current property and doesn’t need to be a cash deposit.
If you’re buying a more expensive property and don’t have enough equity in your current home to cover a full deposit, you’ll need to pay the difference in cash.
Estate agent fees
If you’re selling a property to move, you’ll need to pay your estate agent. Fees vary but are typically a percentage of the sale price, plus VAT. Some estate agents offer a fixed fee but a fee of around 1% to 3% of the sale price is normal.
Mortgage fees
Moving home often involves costs for both leaving your current mortgage and arranging your next one.
- Early Repayment Charges (ERCs) – If you leave your mortgage deal before it ends, you’ll likely pay an ERC, calculated as a percentage of your remaining mortgage. You can avoid this by timing your move after your current deal expires (most lenders allow you to secure a new deal up to six months in advance).
- Arrangement or product fees – Charged by lenders for setting up a new mortgage. Some also add a booking fee. Check the terms carefully.
Mortgage broker fees
Many mortgage brokers charge for their services, either as a percentage of the loan amount, a flat fee, or an hourly rate.
While this is an extra cost, a good broker can often save you money by finding the best mortgage deal for your needs.
Conveyancing
Legal fees vary depending on your property’s value, whether it’s freehold or leasehold, and whether any additional services are needed (known as disbursements).
These can include:
- Using a Lifetime ISA (LISA)
- Buying a shared ownership property
- Bank transfer fees for large sums
Your conveyancer will handle property searches, ID checks, transferring ownership and liaising with the Land Registry. Always request an itemised quote for transparency.
Stamp Duty Land Tax
When buying a residential property in England and Wales, you also need to pay Stamp Duty Land Tax (SDLT). This is calculated as a percentage of the value of the property you’re buying.
You can check the latest rates on the government website.
Stamp Duty is due within 14 days of completion.
Survey
A survey assesses the condition of your new property. There are three main levels, from basic to in-depth, with costs ranging from around £400 to £1,500.
This is separate from a mortgage valuation, which only confirms the property’s value for your lender.
Land Registry fees
Payable when registering your ownership of the property. Costs depend on the property’s value and whether the application is online or by post. Your conveyancer will usually pay these and add them to your bill as a disbursement.
Valuation fees
Your mortgage lender will carry out a valuation to confirm the property is worth the price you’ve agreed to pay. Costs vary depending on the lender and property size. Some lenders include this in their mortgage package.
Moving costs
Whether you do it all yourself or hire a company to help, you’ll likely need to account for moving costs.
When using a removal company, the cost will depend on:
- The company
- The size of property you’re moving from/to
- The distance you’re moving
- Whether you need any furniture dismantling
- Whether you add on a packing or unpacking service
If you decide to move everything yourself and decide to hire a van, you’ll need to factor in:
- The van rental
- Petrol or diesel
- Insurance add-ons
- Boxes, tape, and other packaging materials to keep valuables safe
Bank transfer fees
Sending large sums of money (such as your deposit) usually involves a telegraphic transfer fee, typically £20 to £50 per transfer.
Mail redirection
Royal Mail offers a redirection service to forward your post to your new address for three, six, or 12 months. Prices start from £41.50 (at the time of writing). This gives you time to update your address with companies, government departments,and anyone else who may need to know.
Want help budgeting for your house move?
Book an initial consultation with the financial experts at Ernest Grant Mortgages to get complete financial clarity before you start your property search.
The team will help you explore your mortgage options and find the best fit for you. Book your call here.