How Much Does It Cost To Sell A House In The UK?

Selling a house involves a range of costs that vary depending on the property’s value, location, and unique features. Whilst buyers are always going to pay substantially more to acquire a property, sellers have to contend with considerable expenses of their own, from estate agent fees, conveyancing, and mortgage settlements along with any additional costs relevant to upscaling or refurbishing properties.

The exact cost of selling a house will vary, depending on how each seller chooses to proceed with a sale, as well as how they deal with potential costs. Below, we offer a general overview of the costs involved in selling a house from the start to the end of the process.

How Much Does It Cost To Sell A House In The UK?

 

Preparation For The Sale

Preparing any property for sale can significantly impact both the speed of the sale and the price. The costs of getting a home ready to sell will vary depending on the level of cleaning, reupholstering, and advertising the seller wishes to invest in making the property look as attractive as possible to potential buyers.

Homeowners might spend around £500 to £1,500 on decluttering, deep cleaning, and simply reconfiguring the layout of the furniture. Luxury properties often benefit from professional staging services, which can cost from £2,000 to £5,000. These may include interior design, furniture rental, and even virtual staging for online marketing purposes. Luxury or unique homes often require targeted marketing to reach niche buyers and as such, they come with an extra level of investment.

Professional photography packages, 3D tours, or videography can add another £500 to £1,000, potentially even more for acquiring the services of a highly skilled professional to capture the beauty and grandeur of a luxury home. Listing in premium property magazines or on exclusive platforms such as Sotheby’s International Realty can cost from £500 to £2,000, depending on the publication and listing space taken out.

 

Repairs & Renovations

Many homeowners invest in renovations and, when necessary, repairs, before listing their homes to improve sale value and avoid delays. This can include anything from simple improvements (like repainting or repairing fixtures) typically costing around £200 to £1,000, to much greater undertakings, such as kitchen updates or roof repairs, which may cost from £5,000 to £20,000 or more depending on the scale of improvements.

While optional, these may significantly impact the final sale price and serve the interest of the seller to increase their profits as a result. It all circumnavigates any issues being discovered by a buyer that they may choose to negotiate over the price of the sale. Buyers often conduct property surveys to check for structural or repair issues, and sellers of high-value properties may choose to do the same, to address potential issues proactively.

The costs of a survey can range from £250 to £1,000 depending on the type, from a standard homebuyer report to a full structural survey. Survey costs can rise due to larger property sizes and the complexity of historical or architecturally unique homes, which may require a specialist assessor. Additionally, environmental surveys may be required if the property is situated on a large plot or holds considerable land as part of the sale.

 

Fees And Legal Requirements

Estate agents are the typical facilitators for selling any home, and their fees represent a significant portion of the costs. On average, estate agents charge between 1% to 3% of the property sale price, plus VAT. For example, if a property sells for £600,000, the cost could range between £6,000 to £18,000 for the agency attached to the sale. Some agents offer fixed fees, especially for luxury properties, which may be more cost-effective for sellers with properties at the high end of the market.

Conveyancing covers the legal aspects of transferring property ownership. This includes handling contracts, conducting local searches, and managing payments. Sellers should expect to pay between £800 and £1,500 for solicitors fees on standard property transactions, depending on the property’s complexity and location. Complex ownership structures, historical designations, or legal encumbrances can increase fees significantly, especially for luxury properties where costs could run into the tens of thousands.

Certain documents are required for the sale of a property in the UK, – which is the owner's responsibility to source – such as an Energy Performance Certificate (EPC). It assesses the property’s energy efficiency and is valid for ten years. EPCs cost around £120 for an independent assessor to issue the certification. Custom-built or period properties may require specialist assessors, which could increase the price slightly.

 

Settling Mortgages & Capital Gains Charges

Selling a property with an outstanding mortgage balance may come with some financial commitments, particularly if the sale is within the fixed-rate term. For property owners who are still in a fixed term period of their mortgage, lenders often charge an early repayment fee to compensate for any loss of interest incurred after the end of the fixed-rate term.

This is typically 1% to 5% of the outstanding mortgage. For instance, a property with a £400,000 outstanding mortgage could cost its owner between £4000 to £20,000 to complete a sale before the end of the fixed-rate term. Some lenders apply a mortgage exit administration fee, which may cost £50 to £300 but could be higher depending on the cost of the mortgage.

Capital Gains Tax applies when selling a second property or an investment property rather than a primary residence. Basic rate income taxpayers must pay 18% on gains, while higher rate taxpayers must pay 28%. Properties with significant capital gains can lead to payments in the tens of thousands, especially if the seller is a higher-rate taxpayer.

 

Moving Costs

Once the sale is finalised, all that remains is for the owner to factor in the cost of moving out. For a three-bedroom home, moving costs can range between £500 and £1,200 within the UK. For large or high-value items, additional insurance may be necessary, adding a few hundred or even thousands more to the cost of the move, as professional moving services can charge a premium for their services, especially if the seller needs to relocate further away or even, move countries.

Based on the expenses outlined, the total cost of selling a standard property in the UK should be somewhere between £5,000 and £20,000 for most transactions. For high-value or unique properties requiring additional services, the range can increase significantly, easily exceeding the £40,000 mark, with marketing, renovations, and legal complexities.

 

It is also worth mentioning that all of these charges may be subject to additional VAT, which is currently taxed at 20% in the UK. Understanding these costs and the options available, sellers can be prepared ahead of the sale and can optimise their property’s market appeal by investing more in the sale process. Any costs from this should be recouped from the sale of the property if carefully managed and with the right assistance from credible estate agents, solicitors, and accountants.