Moving costs rise faster than house prices

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by Gill Montia

The cost of moving house in the UK has risen at a faster rate than house prices over the past decade, according to new research by Lloyds TSB.

Since 2001, house prices have jumped 64% whereas the average cost of selling a home and buying another has surged 69%, from £5,290 to £8,922 (lower-band stamp duty rate).

Mortgage fees make up about 12% of today’s outlay, having helped to take the cost of moving home to its highest level since the peak of the housing market in 2007.

By category increases are as follows:

Average estate agency costs are up 64% since 2001, from £2,059 to £3,377.

Mortgage arrangement fees have risen a shocking 252%, to £1,076 on average.

Stamp duty costs are showing a 64% rise on 2001, to £1,876, with conveyancing fees also up 64%, to an average £938.

Home removal prices have inflated 38%, to an average £1,110, and surveyors are charging 45% more with a typical fee of £545.

The South East has been worse hit, with costs more than doubling (132%).

London recorded the second-biggest increase (127%), followed by the North East (91%).

Those living in Northern Ireland have seen the smallest rise in home moving costs (24%).

Commenting on the figures, Lloyds TSB housing econimist, Suren Thiru, says: “The significant rise in home moving costs is particularly concerning at a time when demand in the UK housing market is weak.”