Considerations For

Selling A House

It might be worth considering getting insurance for the movements of the contents of your house. Most people don’t include this, or any breakages when they clear their properties. Ignoring this could cause issues and is only looked at as a personal problem. There are a lot of good services to make the job of selling a property quickly and easy.

You can purchase a service which allows you to arrange the hold of your house contents during the completion of the sale. This can decrease the date from selling the house to moving out, as the buyer’s waiting time to move in can be decreased. The faster the whole process is, the faster you will have your final sum of money. You can rent a storage space like this over the telephone, setting a date for the service, arranging what contents you are storing and length of the selling period. In order to sell your property and get the highest potential of cash, it’s a good idea to consider

What are the costs of selling a house?

These tables detail and potential extra costs you’ll have to pay for;

Basic Costs When Selling a House

Item Cost
Estate agent fees 0.5% - 3% + VAT
EPC £35-£150 + VAT
Removal Costs £250-£4,000
Conveyancing Fees £550-£1000

Potential Extra Costs When Selling a House

Item Cost
Incentives See notes below
Early Mortgage repayment charge 1-5% loan amount is typical
Preparing house for sale Depends on work needed
Mortgage exit fee £50-£300
Capital gains tax See below
Home report £100-£100+VAT

Use our helpful calculator to work out the costs of selling a house - Instant quote comparisons for your selling fees and our selling property checklist to stay on top of your sale. Our calculator can save you time around the board. It can save you time by doing multiple calculations at once, this way you will know what you can afford and what you are going to get.

Our calculator will tell you to have much of your money will be going towards the estate agent fees, removal costs, Conveyancing Fees and Conveyancing Disbursements. The calculator will help you to understand what price you are to expect all together and how much you should look to budget on each section

When selling property, there are many things that you must consider whilst selling your property. See below to go over these factors in further detail.

Energy Performance Certificates

Energy performance certificates are compulsory items for anyone selling a home and you need to order one before your property is placed on the market.

Essentially, these certificates contain information about how energy efficient your property is, the typical energy costs and advice on how to save money and reduce energy costs. EPCs are available to buy direct from providers found on the internet or your estate agent will be able to arrange one for you. These certificates are valid for 10 years from the date of issue.

EPCs are important as it allows you to compare the energy efficiency of different properties which highlights the energy efficiency improvements you could make.

What Do I Need to Do to Sell My House?

The first thing you should do when considering selling your property is to get a valuation, an online estate agent can give you a general idea, but you are better off getting a local solicitor or licensed conveyor for your evaluations when moving to a new home.

However, you should consider getting extra ones done because the valuation can vary and you don't have to stick to one seller, the price of the hose is up to you. Transferring ownership of a property to potential buyers is a legally binding action, which means you need to get a lawyer to transfer ownership; this action is called conveyancing.

At this point, you may get an offer and must sign the exchange contracts. This is the point at which you are legally bound to the sale, only if the buyer pulls out will the sale not proceed at this point. Once you have moved out in the time agreed, the solicitor will report the transfer of ownership of the land and will collect on their percentage which they agreed on before the sale started.

Estate agent fees for selling

Cost range: 0.75% - 2.5% + VAT (of final sale price)

  • 96% of all house sellers use traditional high street estate agents.
  • Most of these agents charge a percentage fee based on a “no sale no fee “basis.
  • The average UK estate agency fee is generally around 1-1.5% + VAT.
  • All estate agents are obliged to ensure all fees and charges are quoted inclusive of VAT.
  • Using more than one estate agent will have you quoted a higher fee which is usually between 2 and 3% +VAT.

Auction

If you’re considering using an auction when you sell your home, then there are 2 potential fees to budget for.

  • £0-£3,000 +VAT – Auction Entry Fee
  • 2%-3%+VAT – Commission on sale (No sale no fee)

Some auction houses will claim to sell for 0% commission; however, they’re charging the buyer and as such, the buyer’s offer will take this fee into account.

Conveyancing Solicitor Fees

Cost Range: £550 - £1000 inc. VAT

Conveyancing solicitor fees will vary enormously from house to house. Some will charge a percentage of your home’s value and some charge on a more secure fixed fee basis.

When it comes to selling a house, solicitor fees for this process will often be cheaper than when buying a house. This cost will depend on whether your proper is leasehold or freehold and whether you have a mortgage.

If the property has a mortgage and is leasehold, then there will be more work for the conveyancer and so they will look to charge a higher fee.

Property Type Cost
Freehold + no mortgage £575 inc. VAT
Freehold + mortgage £612 inc. VAT
Leasehold + no mortgage £768 inc. VAT
Leasehold + mortgage £805 inc. VAT

The conveyancing process must be handled by a licensed conveyancer or specialist solicitor. Find a conveyancing expert early in the process of selling your home.

Removal Costs

Cost range: £250 - £4000 + VAT

This cost range varies depending on the following factors:

  • Quantity of possessions
  • Deciding who does the boxing up
  • The accessibility of your house
  • The distance to your new home
  • Storage space requirements

If you are thinking of taking the DIY approach to moving, you need to consider the costs of hiring a van, goods in transit insurance, fuel cost and suitable packing materials. Although this is cheaper than using a removal firm, it would be a far more stressful experience from a logistical sense.

Additionally, you need to ensure you are on top of your household contents insurance, for example, will your policy cover you for the move? If it doesn’t, you may have to pay a premium of £20-£30 to get the extra cover you need. However, for a fee, removal firms may offer to cover you with their own insurance policy.

Mortgage Charges

There are two mortgage related charges to be aware of when it comes to selling a house.

  • Mortgage exit fee
  • Early repayment charge

Mortgage Exit Fee

Cost range: £50 - £300

Mortgage Exit Fee’s are also known as MEAFs. This is the charge your pay to your lender for closing the file on your mortgage. It is a charge processed when your mortgage balance is cleared.

You will need to ensure that the fee being charge is the same as the fee set out in your original mortgage contract. If you check your fee and it seems unfairly high, then you should visit the Financial Ombudsman service to review the complaint procedure.

Early Repayment Charge

Cost range: 1% - 5% of loan amount.

If you are intending to pay off your mortgage early check with your lender to see if a redemption charge is payable. This fee can sometimes be large than expected and you may not have been exposed to all the exit fees when you initially signed up for your mortgage.

Incentives

Cost range: Dependent on incentive

If you are struggling to sell your home because you’re up against several similar properties, then you can either drop the price or offer some incentives to make your home more appealing to buyers.

Seller/Buyer incentives

Incentives often work best when tailored to the type of buyer you’re targeting. As an example, if you targeted buy to let investors, then a good incentive would be to offer 3 months rental income paid.

Here are some seller / buyer incentives to take note of:

  • Free Legal (£500 - £1000)
  • Stamp Duty Paid (dependent on the property value)
  • Furniture pack (£1000)
  • Removals paid (£250 - £4000)
  • 2-3 months rental income paid (dependent on market rate)
  • High street voucher (£500)

Capital Gains Tax (CGT)

If you only own one home, there is no CGT to pay when you sell it. This is due to a tax relief called private residence relief. Despite this, if you own more than one property, the sale of any property other than your main residence will most likely be subject to Capital Gains Tax.

  • The current tax rules allow you to hold on to your old home for 9 months before CGT liability intervenes.
  • Your CGT liability is based on the amount the property has increased in value during your time of ownership.
  • You are allowed to deduct the cost of improvement works and the transactional costs of buying and selling the property.

How to Calculate Profit When Selling a House

Most sellers will need to know how to calculate profit when selling a house.

To work this out you need the sale price (A), your mortgage balance (B) and the total cost of selling (C).

Use these figures and place them in this simple arithmetic.

Gross Profit = A – (B+C)

Accepting an Offer

When you first receive an offer, make sure you negotiate! Many buyers will offer much less than they are prepared to pay, and your estate agent will advise whether the offer is acceptable or not.

Contracts

Once the final terms of your contract of sale are finalized, the contract is exchanged with the buyer, which legally binds the sale. If you choose not to go ahead with the sale, the buyer could sue you! If the buyer pulls out at this stage, they lose their deposit.

Key Takeaways

Before you leave this page, it’s important to take these 3 points away with you when it comes to the costs of selling a house.

  • It can be very easy to underestimate the costs involved, especially if you’ve not been through this process before.
  • Avoid falling into the trap of being “penny-wise but pound-foolish” in a bid to cut costs.
  • The best sellers will focus on paying a fair fee for services that will help them collect the best sale price. This is how you pocket the most profit from a sale.

Frequently Asked Questions

Yes, the Moving Costs Calculator can be used by those purely selling, purely buying or buying and selling in one move. Simply select which type of transaction you are doing at the start of the calculator.

The first thing you should do when considering selling your property is to get a valuation, an online estate agent can give you a general idea but you are better off getting a local solicitor or licensed conveyor for your evaluations when moving to a new home. However, you should consider getting extra ones done because the valuation can vary and you don't have to stick to one seller, the price of the hose is up to you. Transferring ownership of a property is a legally binding action, which means you need to get a lawyer to transfer ownership; this action is called conveyancing. At this point, you may get an offer and have to sign the exchange contracts. This is the point at which you are legally bound to the sale, only if the buyer pulls out will the sale not proceed at this point. Once you have moved out in the time agreed, the solicitor will report the transfer of ownership of the land and will collect on their percentage which they agreed on before the sale started.

It is advised to plan before you sell your property, an estate agent won't do enough planning for a smooth sale. The biggest fee when moving house is the fees that the estate agent will charge you for their marketing. Every estate agent will have their own set percentage, but the majority of high street estate agents will charge around 1 to 3 percent of the sale amount. Therefore your estate agent will vary based on the estate agent you're using and the price value of your property. If you have Furniture on your property, and you are wanting to take it with you, it is most likely going to cost you a fair amount to transport the items to your new house. The variables here are how heavy your furniture is and how big the distance is that you need it moved. This price is normally quite low unless you have a large house or a moving to a vastly different area. There are also legal fees to keep in mind when selling a house. You will have to pay solicitor fees because although the buyer is paying for the searches, you still have to pay for a licensed conveyancer when selling. This fee should set you back up to around £1500 maximum. Anyone selling a house is legally obligated to provide an energy performance certificate, which has information about the efficiency of the electrics in the property. If you don't have this certificate, it will cost you around £100 to get one.

CONSIDER

Important Steps

FINANCES

Check if you have any outstanding finances related to your property, such as mortgage payments. You will need to check if you will have any early repayment fees through your mortgage provider before you sell your house!

CHOOSE AN ESTATE AGENT

Although it is possible to sell without an estate agent, it is far simpler to use an estate agent with access to online portals such as Right Move or Zoopla. Your agent will often manage viewings on your behalf as well as handle any communications with the buyer and manage things like capital gains tax and tell you things like your houses energy performance certificate.

LEGAL REPRESENTATION

The conveyancing process must be handled by a licensed conveyancer or specialist solicitor. Find a conveyancing expert early in the process of selling your home.

ACCEPTING AN OFFER

When you first receive an offer, make sure you negotiate! Many buyers will offer much less than they are prepared to pay, and your estate agent will advise whether the offer is acceptable or not.

CONTRACTS

Once the final terms of your contract of sale are finalized, the contract is exchanged with the buyer, which legally binds the sale. If you choose not to go ahead with the sale, the buyer could sue you! If the buyer pulls out at this stage, they lose their deposit.

MOVE OUT

The final step in the sales process is to move out of the property on the assigned day and pay off the mortgage (if applicable) as well as your fees.

Moving Costs

Calculator

Use our simple calculator tool to discover the expected costs for your home move, whether you are buying, selling or both!

Why Not Try

Our Other Services

We can provide information for people selling, buying or both! Use our tools for the scenario to suit your move.

#

Buy House Only

Make sure you know what to expect in fees and costs when buying a new house! Use the quote comparison tools to get the best prices for the services you need.

Costs of Buying
#

Sell House Only

When you are selling, there are still a number of fees and costs to cover. Make sure you know what to expect ahead of time to reduce any unexpected costs.

Costs of Selling
#

Buy & Sell House

Instantly see the costs involved in buying and selling property with our useful calculator tool. We can even help you find the best quotes for everything from removals to conveyancing.

Costs of Both

Calculate Your Costs!

It's as easy as 1,2,3!

Calculate your Costs

Helping You Every Step of the Way!
Moving Costs Calculator is a trading style of The Conveyancing Network Limited who are authorized and regulated as an Appointed Representative Number: 822060. The Conveyancing Network Limited is an Appointed Representative of Sure Wise Limited who are authorized and regulated by the Financial Conduct Authority (FCA). Reference Number is 618327.

We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.