The complete guide to house buying costs in 2025

Buying a house in 2025 costs more than just paying the asking price and deposit. From the moment your offer is accepted, there’ll be home buying costs that can add 10% to 15% the total costs.

From the legal work to stamp duty, removals and ‘hidden costs’ you might not first think of, own a home might cost more than you think.

Here’s what you’ll typically need to budget for when buying a house and moving:

• Mortgage deposit = % of the home value
• Conveyancing fees = £800 - £2,000
• Disbursements = £380 - £445
• Mortgage fees = £100 - £600
• Mortgage broker = £150 - £600
• Surveys = £400 - £1,500
• Stamp Duty = 0% to 12% of the home value
• Removal costs = £350 - £2,000+
• Insurance = £150 - £400
• Furniture and fittings = Varies (see section 10)
• Ongoing costs = Varies (see section 11)

Costs: 5-20% of the home’s purchase price

Your deposit is likely the biggest upfront cost when buying a home – it’s the cash you put down while your mortgage covers the rest.

How much do you need?

Most lenders want at least 5% as a deposit, but putting down 10% or more typically gets you better mortgage rates and a wider choice of lenders.

Deposit costs examples: 

• £200,000 house: £10,000 (5%) to £40,000 (20%)
• £300,000 house: £15,000 (5%) to £60,000 (20%)
• £400,000 house: £20,000 (5%) to £80,000 (20%)

What if I already owning a home? If you already own a home, you can use the equity (money) you’ve already built up in your current property as a deposit. Meaning you might not have to save for a deposit at all.

First-time buyer? Read our guide on government schemes and first-time buyer benefits here.

Costs: £800-£2,000

You’ll need a conveyancer (or solicitor) to handle the legal side of your property purchase.

What do conveyancing fees cover?

Your conveyancer handles everything from checking the property’s legal history to transferring the money on completion day.

How much should you budget?

Most conveyancing fees range from £800-£2,000, depending on:

• Property price - more expensive homes usually cost more
• Property type - leasehold properties need extra checks
• Your conveyancer - some charge more but offer better service

Getting the right conveyancer

Don’t just go for the cheapest option, their price will likely reflect their service. Do some research – get some quotes, and ask questions about their process, technology, and approach. This will give you a good sense of the best fit for your needs. The key is to find a conveyancer who explains things clearly to you, keeps you updated, and offers support every step of the way.

Costs: £380 - £445

When buying a home, conveyancing fees cover what you pay your conveyancer for their services. Disbursements are additional expenses they’ll handle on your behalf. 

Common disbursements include:

• Land registry fees (£90 - £140) to officially register the property in your name.
• Search fees (£250 typically) so your conveyancer can check for any issues with drainage, environmental factors, etc.
• ID and verification checks (£20 - £30) to confirm your identity and legal eligibility.
• Bank transfer fees (£20 - £25 per transaction) to transfer large sums of money.

You may also have extra costs depending on your specific situation, like needing to cover a gifted deposit or Help to Buy supplements. But don’t worry – your conveyancer will clearly explain any disbursements that apply to you.

Mortgage fees

Costs: £100 - £3,100

Your lender will charge you a couple of fees to get your mortgage sorted - here's what to expect:

Mortgage valuation: £100 - £600

Before lending you money, your lender wants to check the property is actually worth what you're paying for it. Think of it as their safety net - and yours too, since it helps ensure you're not overpaying.

The cost depends on your property's value and type, but most valuations cost a few hundred pounds.

Important: This is different from a survey (which we'll cover next) - the valuation is just for your lender's peace of mind.

Arrangement fee: £0 - £2,500

Many lenders charge a setup fee to arrange your mortgage. Some lenders don't charge this at all, while others can charge up to £2,500.

Tip: Most lenders let you add this fee to your mortgage balance instead of paying upfront. Sounds good, but you'll end up paying interest on it for years - so it actually costs you more in the long run.

Our advice: Factor this into your mortgage comparison. Sometimes a mortgage with a higher rate but no arrangement fee works out cheaper overall.

Check out our full guide on mortgages for more.

5. Mortgage broker

Costs: £0 - £600

Finding the right mortgage can feel overwhelming with hundreds of deals out there. A mortgage broker can do the legwork for you, but they're not always necessary.

What do mortgage brokers do?

They compare mortgages across different lenders and can often access exclusive deals you won't find on comparison sites. Plus, they handle all the paperwork and guide you through the application.

How much do they cost?

• Free brokers: Earn commission from lenders (no cost to you)
• Fee-charging brokers: Usually £300-£600 but might find better deals
• Hybrid: Some may use a combination of the above

Do you actually need one?

Probably yes, if: You're self-employed, have bad credit, need a large mortgage, or want someone to handle everything.

Maybe not, if: You have a straightforward situation and don't mind doing the research yourself.

Costs: £300 - £1,500

A survey is like a health check for your future home - completely different from the mortgage valuation we mentioned earlier. While the valuation just confirms the property's worth, a survey digs into any problems lurking beneath the surface.

Do you actually need a survey?

Technically no, but skipping one is risky. A good survey can save you thousands by spotting issues before you buy, or give you ammunition to negotiate the price down.

What type of survey should you get?

Level 1 Survey (Condition Report): £300 - £900

• Best for: Newer homes (less than 50 years old) in good condition
• What you get: A basic report highlighting visible defects and urgent issues

Level 2 Survey (HomeBuyer Report): £400 - £1,000

• Ideal for: Homes in reasonable condition, less than 50 years old
• What you get: A more detailed report on the property's condition, flagging issues and needed repairs

Level 3 Survey (Building or Structural Survey): £630 - £1,500

• Perfect for: Older homes (50+ years), large or unusual properties, or those in poor condition
• What you get: The most comprehensive review, including full structural assessment and potential repair costs

0% to 17% of the property price

When buying a home in England over a certain price, you’ll need to pay Stamp Duty Land Tax, charged by HMRC. The amount that you’ll owe depends on the purchase price and your situation. 

First-time buyers get a higher threshold before paying SDLT:

• 0% on homes up to £300,000
• 5% on £301,00 to £500,00
• Standard rates on anything about £500,000

Standard rates:

• 0% on purchases up to £125,000
• 2% on £125,001 to £250,000
• 5% on £250,001 to £925,000
• 10% on £925,001 to £1.5 million
• 12% on £1.5 million and above

Buying an additional property that will not be your main residence? You'll need to pay an additional 5% Stamp Duty on all of the above brackets.

Still have questions? Learn more about Stamp Duty in our in-depth guide.

Land Transaction Tax

In Wales, the tax is called Land Transaction Tax (LTT), and it is paid to the Welsh Revenue Authority. The tax works a little differently from SDLT. There is a standard rate and a higher rate. 

The higher rates apply in various circumstances. The most common is if you own several other properties and do not intend to live in the one you are purchasing as your main residence.

Here’s a breakdown of the rates.

Standard rates:

• 0% on homes up to £180,000
• 5% on £180,001 to £250,000
• 5% on £250,001 to £400,000
• 5% on £400,001 to £750,000
• 10% on £750,001 to £1.5 million
• 12% on anything over £1.5 million

Higher rates

• 4%% on homes up to £180,000
• 5% on £180,001 to £250,000
• 9% on £250,001 to £400,000
• 5% on £400,001 to £750,000
• 14% on £750,001 to £1.5 million
• 16% on anything over £1.5 million

Learn more about LTT here.

Between £350 and £2,000+

Moving can be a major undertaking, especially figuring out how to transport all your belongings. If it’s your first place you may be able to handle it in a few trips. But if you’re moving out of a larger home, you’ll likely need some professional help.

Doing it 100% solo will save money but takes time and energy loading up a rented van or truck repeatedly. Hiring removers depends on your home’s size, how much stuff you have, and the distance to your new place.

Many people will pack themselves, have movers transport everything, and then unpack themselves. You can pay more for full packing/unpacking services, but you’re going to be coughing up a premium. Either way, consider decluttering first – less stuff means lower moving costs.

£150 - £400 (per year)

Getting insurance might not seem exciting, but it can give you priceless peace of mind in your new home. While not legally required, having both building and contents coverage is highly recommended. If you’re taking out a mortgage. Lenders will likely require you to take out building insurance at least. 

Building insurance protects the home’s physical structure from damage (fires, storms, floods, etc.). You can see why your lender will require you to take this out.

Contents insurance covers replacing or repairing your possessions if they get damaged, destroyed, or stolen.

They are often purchased together under the same name, known as home insurance, but they are two separate policies.

No average cost

If you’re buying a move-in-ready property, you may only have to consider minor cosmetics and a few new bits of furniture. Whereas if you’re buying a fixer-upper it can get expensive.

Replacing roofs, plumbing, appliances – it all adds up fast. Cosmetic upgrades like lighting, tiles, and cabinets pile on too.

The home’s condition and reno scope greatly affect the total price tag. A few coats of paint are one thing, a full gut job is another. 

We’d suggest thinking through everything you want upgraded. Make sure your budget can stretch to cover it before purchasing. 

It’s difficult to predict all costs upfront, the unexpected can happen and throw a big spanner in the works. The best you can do is plan and leave yourself a little wriggle room if things get sticky.

See below

The costs of homeownership don’t disappear once you have the keys. Mortgage payments are likely your biggest monthly expense. Energy bills can also rack up quickly, especially in older, poorly insulated homes.

You’ll need to budget for council tax too, usually £1,000 - £2,000 per year depending on property value. You’ll also need to consider utility bills, TV licenses, broadband – it can snowball into quite a lot. 

With so many ongoing costs, carefully consider your budget when buying. Get accurate estimates for all the regular payments you’ll face as a homeowner. This ensures you can truly afford it. 

It might also be a good idea to save up a financial buffer for surprise expenses. Things pop up when don’t expect them, best to be prepared if you can.

Average monthly outgoings

• Mortgage repayments = £800 - £1,500
• Energy bills = £100 - £250
• Water bills = £30 - £40
• Council tax = £100 - £200
• Broadband = £20 - £30
• Ground rent (if leasehold) = varies
• Maintenance = varies

Buying a home and moving involved a lot. From deposits and fees to monthly bills, the costs add up. It's important to consider everything that applies to you and your situation and budget accordingly. 

Hidden costs are the expenses that aren't obvious when you're budgeting for your house purchase - the ones that can catch you off guard if you're not prepared.

The important hidden costs to watch for:

• Indemnity insurance: £20-£300 (if there are minor legal issues with the property)
• Utility connections: £100-£300 (getting gas, electricity, and broadband set up)
• Storage costs: £50-£200 per week (if there's a gap between moves)
• Lock changes: £50-£200 (for security and new keys)
• Immediate repairs: £500-£2,000+ (things that might need repairing when you move in)

Tip: Budget an extra £1,500-£3,000 for these unexpected costs. Most buyers forget about them, but being prepared means no nasty surprises.