Property buyers are spending almost £17,500 just to move – with costs now 75% higher in England than they were a decade ago.
The average home mover now spends £17,413, with the bulk of the cost coming from stamp duty, according to comparison website Really Moving. The typical cost of stamp duty is £9,500, while estate agent fees come in at £4,473 and removal fees are £624.
Other costs that make up the total bill include conveyancing, a survey and an Energy Performance Certificate, which sellers must have to sell their home. The cost for first-time buyers is lower at £2,293 largely due to cheaper stamp duty fees. Stamp duty is a tax you sometimes have to pay when you buy a property.
To see more of the stories you love from The Mirror and to find them easily in Google then make us your preferred source. Free and easy-to-do, just click on the link here to find more from The Mirror at the top of your feed.
Stamp duty makes up the bulk of moving costs
• BBC expert issues October 25 property warning as ‘it’s only going to get worse’
• What leasehold reforms mean for you as Angela Rayner vows to end ‘injustice’
You start to pay stamp duty when the value of your property is worth more than £125,000, or £300,000 if you are a first-time buyer. On a regional basis, Really Moving found London has the highest moving costs at £32,017, while the North East has the lowest costs at £8,806.
The research also revealed that the median property purchase prices fell from £395,000 to £390,000 this year. This has actually led to the cost of moving falling by £418 since last year. Really Moving analysed data from 20,400 home moving quotes.
Rob Houghton, founder of the firm, said: “Movers will be relieved to hear the cost of moving has eased a little this year, but the longer-term picture is far less reassuring. Moving home costs almost three-quarters more than it did a decade ago, even after accounting for inflation, making it a major barrier to mobility and economic growth.
“It prevents people from relocating for a new job, discourages growing families from moving to larger homes and makes downsizing much less attractive.”
Fixed mortgage rates have edged up in recent weeks amid rises in swap rates, which lenders use to price mortgages. The average two-year fixed mortgage rate is now 5.96%, according to Moneyfacts, while the typical rate for a five-year fix is 5.98%.
The Government has recently unveiled a scheme to give first-time buyers in England a helping hand onto the property ladder, with further details set to be outlined in the Budget.
Your First Home will give first-time buyers the chance to buy a new-build property with a 2.5% deposit, with the Government stepping in to lend them an extra 20% towards the cost.
