Finance News

Is the Cost of Moving House Pushing Homeownership Further Out of Reach?

Rose - November 2, 2016

While we all know that prospective first time buyers are facing sky-high house prices, a new study has also revealed that the cost of moving house is pushing homeownership even further out of reach.

On top of paying off a mortgage, many buyers don’t realise just how expensive moving house can be, according to CompareMyMove.com.

With Stamp Duty, surveyors, estate agents and conveyancers to pay, the average cost of moving house has now soared to a whopping £10,996.

Alongside rising house prices, the high cost of moving house is making it more difficult than ever to get on the property ladder. However, the removals comparison site believes that through careful planning and some nifty scrimping, buyers could save up to £3,600 on moving costs.

CompareMyMove.com has put together some interesting facts on how moving costs have changed over the years:

Is the Cost of Moving House Pushing Homeownership Further Out of Reach?

Is the Cost of Moving House Pushing Homeownership Further Out of Reach?

Many of these costs have risen in line with inflation, although buyers now have new costs to think about, such as Energy Performance Certificates (EPCs), which were not a requirement back in 2006.

Following an overall price increase of 25%, moving house now costs a huge £10,996, which is 40% of the UK’s average salary.

The cost of moving house across the UK 

Depending on where you’re moving to, these costs can be more or less expensive than the UK average.

Unsurprisingly, London has been named the most expensive place to move house in the country, costing over £30,000. This is primarily due to high house prices, which drive up the cost of commission-based fees, such as estate agents and conveyancers.

At the bottom end of the list is Northern Ireland, which costs just £5,401.

Find out how much it costs to move house in your area:

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How to cut the cost

Moving house does not have to be so expensive, insists CompareMyMove.com. Depending on your location, you could save over £3,600 by following these simple tips:

  • Online estate agents – Most online estate agents charge a fixed rate for their services, starting at £399. This means that the average household could save between £2,000-£4,000.
  • Conveyancing quotes – Either compare conveyancing quotes yourself, or use a website like Money Supermarket. Using an online conveyancer offering fixed rate fees could also save you up to £500.
  • Removal companies – Using a site such as CompareMyMove.com allows you to compare the costs of several removal firms in your area. You could save up to 70%.
  • Second-hand packing boxes – Go to your local supermarket and ask for free, quality boxes. This could save you over £100.

Following these steps will help you cut the cost of moving house, which could be enough to get you on the property ladder!

Landlords, remember that many of your tenants will be struggling to afford their own home at this time, so ensure that your rents are reasonable and you support them in any way you can.