A Guide to Moving House Costs – Updated For 2018

If you’re planning on moving house this year and would like help budgeting for the big day, this guide is for you.

On this page, you’ll find our recently updated home movers price guide where we’ll provide you with a realistic costing for both buying and selling a home.

Whether you’re taking your step onto the property ladder or are selling your existing home, we think you’ll find our guide insightful.

key in door of new homeHouse Moving Cost – Buying a Home

The following figures are based on the average price for a home in the UK which is £226,000. All figures assume you are either a first-time buyer or a house mover.

Additional fees apply to those buying a second home or investing in a buy-to-let property.

Stamp Duty

Stamp duty is a government tax applied at the point of sale. The buyer pays this tax, not the seller.

Stamp duty is charged in bands. For home-movers, the first £125,000 is duty-free, while the amount between £125,000 and £226,000 is charged at 2%.

Stamp duty for a £226,000 house is £2020.

First-time buyers will not pay anything for a home costing £226,000.

Those purchasing a second property valued at £226,000 will pay a higher rate – £8800.00

The government has created a helpful stamp duty calculator here.

Average House Survey Fees

A house survey will tell you about the condition of the property and any remedial work that needs to be carried out.

The most popular type of survey is a Homebuyer’s report, it contains more detail than a cheaper Condition Report but isn’t as thorough as a full structural survey.

The average cost for a Homebuyer’s Report is £650.

Don’t forget; if the sale falls through, you won’t get a refund and will have to pay this fee again should you find another property.

(This page contains a house survey price comparison)

Home Valuation Cost

Mortgage lenders will want to see an independent valuation of the property you intend to purchase.

You may able to ask for a valuation to be included in a Homebuyer’s Report, or the mortgage setup fee may include one. If not, you’ll have to pay for a valuation separately.

The average cost of a valuation for a 3-bed home is £250.

Average Mortgage Setup Fees

A mortgage setup fee, also known as an arrangement or product fee, is charged by most lenders. The amount varies and is often determined by the LTV (loan to value) amount.

Some lenders charge a percentage of the loan amount while others apply a flat rate.

The average cost of a setup fee is £1000 but can go as high as £2000.

Some lenders will allow you to add this fee to the loan, although you’ll pay interest on this.

Conveyancing fees are paid when the property title deeds are transferred to the new owner. Searches and checks are first carried out, either by a solicitor or conveyancing expert.

The average cost of legal and conveyancing fees for a 3-bed home is £800.

Removal Company Fees/Van Hire

To hire a large Luton van, you’ll be paying around £120 per day including insurance.

A “van and a man” costs around £275 while a removal company outside of London will charge around £725.

Include packing and assembly and the removal company fees rise to around £1100.

We suggest you budget for at least £800. 

You’ll find more info about removal company costs here.

Changing Locks

You’ll probably want to change the locks on your new home after you move in.

The price will depend on the type of lock, but we suggest you budget for £100.

Post Redirection

To ensure you don’t lose any important pieces of mail we suggest you set up mail redirection via the post office.

Action Fraud, the UK’s national fraud and internet crime reporting centre, recommends you use the redirection service for at least one year after you move to prevent identity fraud.

6 months of mail redirection costs £46.99, 12 months will set you back £69.99.

You can set up redirection for between 3 and 12 months here.

House Moving Cost – Selling a Home

In addition to the buyer’s fees and charges described above, if you’re selling a home, you should also budget for:

Estate Agent Fees

The good news is that estate agent fees have come down in recent years. There’s now plenty of competition, including new online-based agents and the housing market is currently flat. Estate agents are once again competing with each other on price, and this is great news for sellers.

A recent survey revealed the average estate agent fee for homes outside of London and the south-east to be 1.2% of the sale price, inc VAT.

In 2018, we conducted our own research into estate agent fees in the UK and found the prices to be slightly higher.

For a £226,000 home, you should budget for a minimum of £2700

EPC Costs

Energy Performance Certificates cost between £40 and £120, and you’ll need one if you want to put your home on the market.

As a general of thumb; it’s cheaper to arrange your own certificate then it is to go through an estate agent.

Legal

In addition to the legal and conveyancing fees for buying a home, you’ll also need to pay again when selling a property.

We suggest sellers should budget for an extra £500, although the actual price will vary from firm to firm.

Other Costs to Consider

Exit fees for gas, electric and water contracts are usually around £25 each but not every utility firm charges these, so check your contract.

Media contracts, such as broadband, TV and telephone are usually 12 – 18 months and early exit fees are usually the remaining months of the contract.

If you can take your existing media supplier to your new home, you won’t be charged an exit fee, but you may be asked to pay a setup fee, the average is around £50.

Moving House – An Overview of Costs

The following is based on an average home costing £226,000.

Item:Price:
Stamp Duty£2020
House Survey£650
Property Valuation£250
Mortgage Setup Fee£1000
Conveyancing and Legal Fees£800
Removal Company Cost£700
Changing Locks£100
Post Redirection£70
EPC Cost (for sellers)£65
Estate Agent Fees (for sellers)£2700
Conveyancing and Legal (for sellers)£500
https://job-prices.co.ukhttps://job-prices.co.uk

Conclusion

The average charges for a first-time buyer to purchase a home is £5600.

For house movers, this rises to £8800.

Other Potential Charges and Costs

A Higher Lending Charge is used by some lenders if you only have a small deposit, usually less than 10%. Most lenders in 2018 choose to instead charge a higher interest rate. These additional mortgage fees are due to the extra risk associated with borrowers who have small deposits.

In addition to a mortgage fee, you may also need to pay a booking fee; these are typically between £99 and £250.

Mortgage brokers can offer advice on which product is best for you. Brokers earn their money from charging you or your lender (or both of you) a commission based fee.

Extend Rather Than Relocate

With the high cost of moving home, more and more people are choosing to extend their existing properties.

The government has even relaxed the planning rules for several types of extension; these are called Permitted Developments.

Garage conversions are the cheapest, quickest and easiest way to create extra usable floor space. That’s because the walls and foundations are already in place and the garage just needs some minor changes before it can be fitted out.

If you prefer to build upwards, then a loft conversion would be the best way to add an extra room.

Basements aren’t cheap, but if you live in an area where floor space is at a premium, such as central London, a £100,000 basement could easily add £200,000 to the value of the property.

A small porch probably won’t need planning permission and is a great way to free up some space inside the home that would otherwise be used to store shoes, jackets and coats. See how much it costs to build a porch here.

Postscript

In addition to the fees stated on this page, also consider:

Land registry fees.

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