How much does it cost to sell a house or flat? From Estate Agent fees to removal costs, we’ve got everything you need to know.
As with most things in life, the key to selling property lies in the planning and many sellers forget about budgeting for expenses. So, to help you prepare, we’ve listed everything you need to know to make the process a breeze.
How much does it cost to sell a house?
Estate Agent fees
The first thing most people do when selling a property is to instruct an Estate Agent to handle the sale. Agent fees vary depending on location level of service and property value. On average agent fees typically fall between 1% and 3% of the final sale price with VAT on top.
Once a seller has an agent in place, they usually appoint a conveyancer to handle all the legal issues involved with selling a property, from the title deeds to answering the enquiries made by the buyer’s solicitors.
Conveyancing fees for selling a house vary depending on the property’s value and how complicated the sale, but typically, for a house straightforward sale, you can expect to pay between £1000 to £2,000.
It’s worth noting that you may be asked to pay a deposit when hiring a conveyancing solicitor. If that’s the case you would then settle the rest of the conveyancing fees once the sale of the house is completed, although you could be asked to pay for things like local searches before then.
Repairs and home improvements
With two obvious costs out of the way, let’s move onto those that are all too easy to overlook. The first of which is getting your home ready for the market. To maximise your chances of achieving the asking price, check out our blog on how to get your home ready for sale. In terms of cost, it all depends on how much or little you want to do. If you’re in no hurry to sell you may decide to make big improvements to boost your home’s value such as a loft conversion or an extension.
You probably think of staging as an American concept, but it’s something that every UK seller should consider when putting their property on the market.
Home staging is all about making the most of a property’s best features, but that doesn’t mean you have to spend a fortune. More often than not, it’s about decluttering, which means you may need to move some boxes or pieces of furniture into storage. It’s a good idea to remove personal items such as photo frames too as they can make it harder for those viewing to see themselves living in the space.
Creating a calm, neutral aesthetic throughout the property is a great way to appeal to as many buyers as possible.
Removals are another cost of selling a house you’ll need to consider. The amount you pay will depend on the size of your home, how many belongings you have and how far you’re moving. A professional team could cost as much as £2,000 if you need help packing and transporting your belongings to your new home. If you have friends who are willing to help, you may only need to hire a rental van for a small fee.
Whether you’re hiring the pros or going for a DIY move, this expense often needs to be paid before the sale is complete, so you’ll need cash available.
EPC (Energy Performance Certificate)
Sellers are legally required to provide their buyers with a current Energy Performance Certificate (EPC) that maps out the property’s energy efficiency. You’ll need to have an EPC before you put your property on the market; getting one can cost you anywhere from £60 to £120.
Don’t forget, before you move out, you’ll need to settle any final bills with your energy and service providers. Always keep a record of your accounts so you’re not hit with unexpectedly high costs. When moving into your new place, switching energy providers can help you keep your costs down too.
The majority of the taxes associated with selling a property (such as Stamp Duty Land Tax in England and Northern Ireland, or Land Transaction Tax in Wales) are paid by the buyer.
If you only own one property, capital gains tax won’t apply to you. However, if you own more than one property, any property sale could be subject to this tax. The fee is based on the increase in value during the time of ownership. For more criteria about this tax, visit gov.uk page.
Early repayment charges
If you’re selling and still have a mortgage, you may be charged an early repayment fee by your lender. This happens when you’re in a fixed-rate contract with your mortgage provider and it could cost you as much as 10% of the existing debt. Check your documents to see if there is such a provision on your mortgage.
Naturally, you’ll want to avoid this if possible, so you might consider moving the mortgage with you to the new property until it switches over to the lender’s Standard Variable Rate (SVR). This is where your fixed-rate term ends and you’re able to move mortgage providers without incurring a penalty.
Let’s get you on the market
Ready to sell your home? Get started with a FREE, no-obligation valuation from Aston Knowles; Purveyors of the finest homes to the royal town of Sutton Coldfield.
Our premium property experts enjoy an unsurpassed reputation and serve to guide the very best people to the very best properties available to the market.
We would be delighted to assist you in your sale and look forward to hearing from you on 0121 362 7878 or email email@example.com