How Much Does It Cost To Move House?

The decision to buy a house is a huge milestone and a massive step towards one’s independence.

But once the dust begins to settle, you could be left with uncertainty as you try to predict the expenses involved. Knowing how much it costs to move house is crucial so you can plan ahead of time and stick to your financial goals. 

If you’re stuck wondering how much properties cost nowadays and what to factor in outside the purchase price, we’ve got all the answers you need right here. Over our 165 years of experience in removals, we’ve learnt a thing or two when it comes to moving house. As such, we’ve broken down all the different types of payments involved so you can have a realistic estimate of how much it costs to move house. 

Mortgage Fees

There are additional fees involved when moving house which are outside your monthly mortgage. The amount you pay will depend entirely on the independent valuation carried out by your lender and can range from anywhere between £400 to £850. 

These types of fees can vary when it comes to your payment, for instance, you can usually choose between either paying the amount upfront or adding the sum onto your current mortgage. The latter will involve a higher cost in the long run as you’ll have to pay interest.

Stamp Duty

If purchasing a property that costs more than £125,000, you will be required to pay the government tax on top of your initial purchase.  The fee you will be required to pay is due to tax on land and property transactions. This obligatory fee will depend on the worth of your property. However, you will most likely be looking at a fee of 5%, something that is charged on all houses that are valued from £250,001 to £925,000; however, if your house is valued above this you are required to pay a percentage of up to 12%.

If you are in the process of purchasing your new main property, but you haven’t sold your last home yet, you will be required to pay a higher rate of Stamp Duty, due to technically owning two properties.  However, you might be able to get a refund if:

– You sell the other property within three years of moving out.

– You claim for the refund within three months of selling your old residence, or in the 12 months of the filing date on your self-assessed tax return.

Solicitor Fees

You also have to factor in legal costs when purchasing a property to ensure the process is legitimate. The cost is split between the fee charged by the solicitor (up to £1500), and disbursements such as third-party services charges (up to £700). You should also set aside an additional £300 if the property is on leasehold. It’s good to compare conveyancing quotes to find out the best agency for your budget.

Building Survey 

When contemplating purchasing your property you should consider having your own structural survey carried out, this is done to ensure there are no major issues with the property and infrastructure.  Despite getting your house valuation from your lenders, it is always beneficial to get your own independent survey, just to be sure. These surveys can cost anywhere up to £1,300.
It may be another additional cost added onto the fee, but it is better to pay this and know before purchasing, instead of moving in to find any defects.

Land Registry

This is a department within the government that keeps records of all registered properties within England and Wales. Each time a new property is purchased; there will be a fee for the new owner to register this property in their name. This is not a massive fee to pay as it is from £90-£140; however, it is still an additional expense for you to be aware of. 

Removal Cost

When relocating, you are most likely going to need professional assistance, unless of course you are moving extremely locally to your current property, or you have a great team of friends or family willing to help.
The costs for removals will vary on not only the distance travelled but also the amount you wish to take with you and any other services you may require. These costs will vary; you are looking at paying from £300-£600 for home removals services. Additionally, you should also set up mail redirects to your new residence. This typically costs around £35 per person for up to 3 months.

Estate Agent Fees

If you are using a high-street estate agent to sell your current house, you will have to pay the agent for organising the house sale. The percentage is typically 1% to 3% of the sale price, in addition to 20% VAT. It’s important to pick an agent who makes you feel comfortable as you’ll be dealing with them a lot so having good rapport can make the process smooth. You ask your friends and family for some recommendations.

Home Insurance

The act of purchasing a home can be fraught with tension, and one can easily get swept into buying a range of insurance products for peace of mind. It’s important to know what’s essential and what’s considered add-ons. 

Buildings home insurance is a vital policy that covers any structural damage costs due to natural disasters, and accidents such as fire. It’s a must-have for freehold properties as lenders consider it mandatory for mortgages. Additionally, you could get contents home insurance to insure your possessions, as well as life insurance to cover mortgage debts in case of unforeseen events.

If you find yourself on a relatively tight budget, it may be in your best interest to hold off on purchasing right now and continue to save up. All the additional charges and fees could end up pushing you beyond your limits, so it may be better to consider all these extra fees in advance of deciding on your potential new home.