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The cost of buying your first home
From stamp duty to conveyancer fees, there are lots of costs to think about when buying your first house.
We can help you understand
The cost of buying a home is more than just the amount of the monthly mortgage repayments. We’ll guide you through what costs you may have to pay, so you can plan your budget.
- Common mortgage costs.
- Costs you’ll need to pay before you move in.
- Running costs after you've moved in.
Common mortgage costs
You may be charged some of these costs when you take out a mortgage.
Product fees
This is the cost of setting up your mortgage deal with a lender. Some lenders let you include this cost with your mortgage. But you'll then pay interest on this charge.
MoneyHelper shows that a product fee can range from £0 to £2,000.
Valuation fees
Your lender will need a valuation of the property you’re buying. This is to make sure it’s worth the price you are paying. Your lender will arrange the valuation.
This generally costs between £250 and £1,500.
Conveyancing
A conveyancer will handle the legal bits for buying your home.
Costs are usually around £850 to £1,500.
Survey costs
A property survey will highlight any problems with your new home before you buy it. A property surveyor completes a survey and details any repairs that you may need to do.
There are different levels of survey depending on how detailed you want the report to be.
Costs for property surveys typically range from £300 to £1,500.
Mortgage arrangement or administration fees
This is the cost to arrange the mortgage. It’s likely to be one of the largest upfront fees you'll pay when you apply for a mortgage or remortgage.
Other costs to expect to pay before you move in
Land registry
The Land Registry is a central record of who owns a property or land.
They charge a fee to register you as the legal owner when you buy a house. The fee is calculated from the value of the property you are buying.
Buildings insurance
You’ll need this as soon as you complete on your house purchase. Building insurance protects your new home’s structure and outbuildings too.
It covers any permanent fixtures and fittings. For example, plumbing, wiring and kitchen/bathroom fittings for things like fire, theft and storm damage.
Removal costs
You may need to hire a removal van when you move. How much you pay will depend on what you are moving and how far you’re travelling. Or get friends and family to help. It’ll be a lot cheaper to do it yourself, if you can.
Use our moving house checklist for some tips on packing and getting ready for your moving in day.
Running costs after you've moved in
Budget for running costs to make sure you’ve got money left each month for food and transport.
You could lose your home if you don’t keep up your mortgage repayments
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