Checklist: costs to think about when moving house...
Moving house is an exciting time but it’s easy to get caught out by additional costs that you may not have factored in to your initial budget, especially if you’re a first time buyer who is unfamiliar with the process.
Take a look at our list of costs to consider so that you don’t get any surprises along the way.
Your deposit is the amount of money that you will be putting towards the purchase of your property. With Help to Buy you can purchase a house with as little as a 5% deposit* and with the new Family Springboard Mortgage the borrower pays a 0% deposit but requires a helper to deposit 10% of the purchase price into a savings account**, you can find out more about the scheme here.
If you are saving for your first home, take a look at our top tips here.
Any fees to do with your mortgage and insurance products such as critical illness cover
There are many different types of mortgages available and what you could borrow depends on a number of factors including existing credit payments, regular outgoings, income and more. You can find a list of our current mortgage deals here.
There are various fees associated with taking out a mortgage which may include an arrangement fee and valuation fee – you will need to check these with your lender. You may also want to consider taking out insurance policies such as critical illness insurance to ensure that if you were unable to work that your mortgage would be covered.
To find out how much you could borrow and the costs involved with taking out a mortgage and moving home, book a free initial appointment with one of our highly trained financial advisors.
Your Move have won Sunday Times Awards for Financial Services 9 years running and often have access to exclusive deals that you won’t find on the High Street.
Stamp duty (England and Northern Ireland) or Land and Buildings Transaction Tax (Scotland)
You must pay Stamp Duty Land Tax if you buy a property or land over a certain price in England, Wales and Northern Ireland, the current threshold is £125,000 for residential properties.
|Property or lease premium or transfer value||SDLT rate|
|Up to £125,000||Zero|
|The next £125,000 (the portion from £125,001 to £250,000)||2%|
|The next £675,000 (the portion from £250,001 to £925,000)||5%|
|The next £575,000 (the portion from £925,001 to £1.5million)||10%|
|The remaining amount (the portion above £1.5million)||12%|
In Scotland from 1 April 2015, Land and Buildings Transaction Tax (LBTT) replaced UK Stamp Duty Land Tax, this is paid on properties over £145,000.
|Purchase price||LBTT rate|
|Up to £145,000||Zero|
|Above £145,000 to £250,000||2%|
|Above £250,000 to £325,000||5%|
|Above £325,000 to £750,000||10%|
Please note that if you are purchasing a second home or Buy to Let property, these will be different, please click here for a full list of rates.
Estate Agent fees
If you are also selling a house you will also have your Estate Agency fees to take into consideration too, these can vary depending on the agency you choose to sell with and any additional extras you choose such as professional photography.
Find out about selling your home with Your Move here.
If you are selling you will also need an Energy Performance Certificate (EPC), an EPC is a report detailing the energy efficiency of a property. Sellers are required to hold a valid EPC for a property before they sell. If you are selling your home through Your Move we can help you obtain an EPC for a small additional charge, ask in your local branch for more details. Most homes in Scotland require a home report when marketed for sale, an EPC is included in this.
Land Registry Fee
Land Registry fees are charged by the Government for updating the records that they hold about your property such as the fact you are now the legal owner. These fees depend on the property price and will usually be included with your conveyancing.
|Value or price of property||Fee|
|Up to £20,000||£50.00|
|£20,001 - £80,000||£100.00|
|£80,001 - £100,000||£150.00|
|£100,001 - £150,000||£200.00|
|£150,001 - £200,000||£250.00|
|£200,001 - £250,000||£300.00|
|£250,001 or more||£450.00|
Once you have put in an offer you will need to instruct a solicitor to deal with all the legal aspects of purchasing the property. Your Move can help with your conveyancing and will talk to you about legal fees and when they are paid so that you can budget with confidence, we also offer a ‘No sale, No Legal Fee’ promise (excludes disbursements), find out more here.
Find out more about the conveyancing process here.
Getting a survey is important, this will give you a clear picture of the condition of property such as if there’s any damp, any cracks and more. We recommend using a surveyor who is accredited by the Royal Institute of Chartered Surveyors (RICS).
The cost of removals can vary depending on the service you would like - would you want them to pack too or just move? It also depends on the size of the property and how much you have to move. If you don’t have a lot to move you may even be able to do it yourself and hire a van.
If you do choose to go for a removals company, always make sure you hire a reputable company to prevent any disasters on the day!
Don’t forget about your on-going costs such as your mortgage, council tax, any service charges (if applicable), internet and much more.
Be aware that some providers will also charge set-up fees so your first bills may be higher and don’t forget to let your existing suppliers know that you are moving.
Top tips for keeping costs down when moving…
• Speak to a Mortgage Advisor to get the best rate you can, our Mortgage Advisors often have access to exclusive deals you won’t find on the High Street and the first appointment is free***.
• Depending on how much you have to move consider hiring a van and moving your possessions yourself. Try not to move during peak times too, these include summer holidays, weekends and towards the end of the month.
• Have a clear out prior to your move, this way you will have less to move and there’s also the potential to make money too.
*Terms and conditions apply, see https://www.your-move.co.uk/mortgages/guides/help-to-buy-explained
**Terms and conditions apply, see https://www.your-move.co.uk/blog/making-the-bank-of-mum-dad-benefit-parents-as-well-as-their-kids
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.
***Our initial mortgage consultation is free. We will charge a fee between £399 and £999 on mortgage application. The amount we will charge is dependent on the amount of research and administration required.