Putting aside the cost of saving for a deposit for your new home, how much exactly is it going to cost to move? If it’s your first home, you could save a lot of money on things like stamp duty. However, if you are selling your current home and moving to a new property, the costs quickly add up.
In this article, we will look at some of the biggest expenses when moving house and how you can keep these to a minimum.
There are two sides to think about. First, you have to sell your own home, and then you have to buy a new one. According to the UK House Price Index, the average cost of a property in the UK is £226,071 and the average cost of moving is estimated to be around £8,885. So, how does all of this add up?
As you will be selling a home and buying another home, you will have to pay stamp duty on the property. This is around £2,000. As part of the mortgage application process, you’ll also need to instruct property surveyors at a cost of £400 and a valuation fee of around £227 will also apply. And finally, to make the sale legal, you’ll have to hand over around £580 in conveyancing fees. This gives you a grand total of around £3,207.
To sell your current home, your estate agent’s fees will set you back around £3,391. Conveyancing fees for the seller cost around £950 and the EPC rating will set you back at least £80. This gives us a total of £4,421 and a running total of £7,628.
The main costs of moving home will be the removal company, which can cost around £1,192 for packaging materials and a removal service. You’ll also need a mail redirection service from Royal Mail which costs around £40. This gives us a total of £1,232 and a running total of £8,860.
All of these figures listed above are averages, so there will be room to save money on this total. If you choose to list your home with an online estate agent, you could dramatically reduce the commission you pay.
The cost of legal fees is unavoidable, but there are ways you can make this cheaper. You should also shop around for things like conveyancing. A lot of people opt for a local company as they assume it will be easier. However, there is no reason to choose a local company if you find a conveyancing law firm elsewhere in the country with good reviews and low rates.
Another way to save on the costs of moving house is to work with a specialist mortgage advisor like Niche Mortgage Info. They will be able to give you access to the best mortgage deals which can offset some of the costs of moving house.
And finally, you can reduce the cost of a removal company by roping in friends and family and going down the DIY route. You can rent a large van for the day and take responsibility for the move yourself. If money is an issue, this can be a great way to cut costs. Granted, it won’t be as relaxing as letting someone else handle the move, but with the money you save, you could always book yourself a spa day to recover!