Exclusive: may be the cost of relocating on the rise?

The stamp duty holiday has cut a lot more than lb4,000 from the average cost of moving home – but other fees are on the rise.

New data obtained exclusively through which? shows that while overall moving costs have came by 39%, estate agent, conveyancing, house survey and removals fees are increasing.

Here, we explain the average cost of moving home, the types of houses buyers are presently competing for and whether it’s already past too far to place your property available on the market.

Stamp duty cut takes lb4,000 off moving bills

New figures from the comparison site Reallymoving reveal that the stamp duty cut has wiped a lot more than lb4,000 off the average cost of moving home.

Its findings, that are based on 239,000 quotes, implies that the average cost of moving has dropped from lb10,911 to lb6,699 considering the changes.

The other main costs, however, are rising. Attorney's fees (15%), estate agent fees (14%), house survey (10%) and removals (3%) have become more expensive as house prices have increased.

The table below shows the estimated costs of moving for an average-priced UK home.

To enable you to get the best deal when moving home, check out our guides on estate agent fees, conveyancing, house surveys and removals to discover the important thing questions to ask and advice on negotiating on fees.

Buyers compete for bigger homes

The property marketplace is flourishing, as buyers look to progress up the ladder and take advantage of stamp duty savings.

Data from Rightmove shows average asking prices for three and four-bedroom homes have hit a new record (lb290,520).

The portal says sales decided on ‘the surface of the ladder’ homes (four-bedroom detached and larger) have increased by 104% year-on-year, while second-stepper properties (three and four-bedroom, not detached) have seen rises of 55%.

Tim Bannister, from Rightmove, says: ‘Needing more space happens to be typically the most popular reason for relocating, however there's a new urgency for extra space to be able to work at home, which means that you will find different sets of buyers competing for the similar kind of property.

‘At the start of the entire year a fourth bedroom was greatly a luxury for buyers trading up, but it is now proving itself to be a must-have if you are capable of taking that step.’

Is the stamp duty cut worthwhile?

The temporary stamp duty cut is fueling the market, and big tax savings are on offer for people buying more expensive properties.

The table below shows just how much you could lay aside in stamp duty when progressing up the ladder in England, Wales, Scotland and Northern Ireland.

Buyers in England and Northern Ireland purchasing more costly properties will reap the biggest rewards, but the recent uptick in demand could mean they wind up paying more for the property itself, possibly negating some of the together with your stamp duty saving.

Figures from Rightmove reveal that the biggest properties have seen price increases close to 5% year-on-year, and with some commentators predicting values could drop in the next year, buyers should consider whether they’re over-bidding to secure a property during this time period of popular.

Buyers and sellers facing delays

The property industry is still dealing with after effects of stricter lockdown measures captured, which has led to delays for consumers.

We’ve recently seen some banks withdraw or limit their mortgage lending, due to lacking the capability to deal with soaring application numbers, which implies that the process of moving could be glacial.

Tim Bannister says: ‘We're hearing of challenges whatsoever steps of the buying and selling process, including lenders suffering a greater quantity of mortgage applications and solicitors over their capacity, and that we estimate you will find nearly 40% more sales currently dealing with than at the moment this past year.’

If you're considering moving in the next couple of months, it’s vital that you get all the key paperwork together now (such as identification documents and payslips), as being organised in advance could improve your likelihood of obtaining a mortgage within the line more quickly.

When should you list your house on the market?

These delays mean people considering selling their home before the stamp duty holiday ends should consider moving quickly.

You’ll have to complete the sale – and also the purchase of your next home – by 31 March to benefit in the holiday.

The estate agency body NAEA Propertymark says sellers should look to promote their property today (26 September) to achieve the best possibility of getting a sale within the line in time.

Rightmove, meanwhile, advises that buyers and sellers element in an extra month to account for the present hold ups, and says that time has already been drained for sales agreed now to be completed before Christmas.

If you're considering moving, we’ve got a whole lot advice that will help you on your way. Our comprehensive step-by-step help guide to selling your house offers advice from setting prices and accepting offers to exchanging contracts.