Buying a house costs more than the deposit. Upfront, you'll pay for a survey, solicitor's fees, mortgage and valuation fees, and stamp duty. Once you're in, there's your mortgage, utility bills, council tax, insurance and ongoing maintenance. Here's what each one involves, and what to budget for.
“Buying a home isn’t just about the headline price – it’s about understanding all the moving parts. The numbers might feel daunting at first but once you break the costs into simple chunks like your deposit, legal fees and moving expenses, it becomes far less overwhelming.
“There’s no need to navigate it alone. A good mortgage adviser or solicitor will walk you through each step, explain what’s essential and what’s optional, and help you do the sums. When you know what to expect, you can focus on the exciting part – getting the keys to your new home.”
Rachel Geddes
Strategic Lender Relationship Director
Want help working out your buying costs? Request a callback or speak to a mortgage adviser.
Upfront costs of buying a house
There are a few upfront costs of buying a house to think about before you get the keys. Here's what you're likely to come across.
Deposit
Your deposit will usually be the biggest upfront cost, so it's worth starting here.
What you put down as a deposit depends on your circumstances. Many mortgages ask for 5% of the purchase price. Putting down 10% or more can open up more mortgage options, and may help you get a lower interest rate.
Your deposit isn't a fee. It's part of the money you pay for the property, so the larger the deposit you put down, the less you’ll have to pay off via the mortgage repayments.
If you're a first time buyer, a Lifetime ISA can help you build your deposit faster. The government adds a 25% bonus to eligible savings, up to £1,000 a year.
Mortgage product and arrangement fees
A mortgage product fee, sometimes called a mortgage arrangement fee, pops up on some mortgage deals. It can be anything from absolutely nothing to £2,000 or more.
You might also come across a booking fee here and there too, though these are less common.
The good news is you'll usually get a choice with a product fee:
Pay it upfront
Add it to your mortgage
A mortgage adviser can help you compare the total cost, so you're not left doing the maths yourself.
Valuation fee
Your mortgage lender will usually want to value the property before agreeing to lend you the money.
The valuation checks that the property's worth roughly what you're paying. It's for the lender's benefit and isn't a full survey.
Some mortgage deals include a free valuation. Others charge from around £150 to several hundred pounds, depending on the property.
Survey costs when buying a house
When you're about to spend hundreds of thousands of pounds on a place, having someone crawl around the loft, tap at the walls, and check for anything sneaky like damp, dodgy electrics, structural movement or roof issues can be a good idea.
There are different levels of survey, so you won't automatically need the priciest one.
Level 1 (Condition report) Newer, conventional properties in good condition From around £300–£900
Level 2 (Homebuyer report) Most standard homes Around £400–£1,000
Level 3 (Building survey) Older, unusual or heavily altered homes Around £600–£1,500+
Conveyancing and searches
Conveyancing just sounds dull, doesn’t it? But you don’t have to do the work yourself. Having a good solicitor or licensed conveyancer in your corner can make the whole thing feel far less intimidating.
They're the ones who dig into the legal side, check the property's title, make sure the contract is sound and handle the transfer of ownership.
Legal fees vary, but budget £1,000 to £2,000. Leasehold and more complex purchases can cost a bit more.
Searches are usually an extra cost on top. These can include local authority, drainage and environmental searches. After all, you want to know if the council is planning to build a motorway at the end of your garden.
Mortgage advice fees
A mortgage adviser might charge a fee, but this will be made clear from the outset. The cost is sometimes a flat amount or a small percentage of the mortgage.
Mortgage advisers are great at breaking down the real cost of different mortgage deals. This can feel wonderfully reassuring if you’re not a maths genius yourself.
Stamp duty
Stamp duty is the government tax most home buyers pay when they buy a property. How much you’ll pay depends on where in the UK you're buying, how much the home costs, and whether you're a first-time buyer or not.
In England and Northern Ireland, you start paying stamp duty once your property price crosses certain thresholds:
£125,000 for most buyers
£300,000 for first time buyers (as long as the home costs £500,000 or less)
Confused by so many figures? Don’t worry. If you’re buying in England or Northern Ireland, use our Stamp Duty calculator to work out what you, personally, will pay. That’s all you need to know.
Basically, if you're a first time buyer buying a £300,000 (or less) home, your Stamp Duty bill would be £0. Not a bad way to start.
Costs on completion
A few smaller costs tend to crop up as you get close to completion.
Land Registry fee
Once you've bought your new place, the Land Registry officially puts it in your name, the final "it's really yours" moment. The fee varies by property value and application type, but as an example, registering a £200,000 to £500,000 home electronically is £150.
Your solicitor handles the Land Registry stuff and bundles the fee into your completion costs.
Bank transfer fee
Transferring a big sum of money (i.e. from your mortgage lender to the seller) involves paying a tiny fee.
It's usually tens of pounds, and this is another thing your solicitor will sort for you.
Buildings insurance
Once you exchange contracts, you'll usually need to have buildings insurance in place. It's one of those behind-the-scenes essentials your mortgage lender will expect as part of the deal. Think of it as putting a protective bubble around your new home from the moment it legally becomes yours.
Ongoing costs of owning a home
Once you’re settled in and the boxes are out of the way, there are a few regular bills to plan for too – all part of getting comfy in your new place and making it feel like home.
Mortgage repayments
Your monthly payment depends on how much you borrow, your interest rate and the mortgage term. A larger deposit means borrowing less. A lower interest rate can help keep your monthly payments down.
Use our Mortgage Repayment Calculator to find out how much your mortgage payments are likely to be based on interest rates and terms
Household bills
If you've rented privately before, none of this will feel new. But it's still worth having these bills on your radar when you're settling into your new place:
Council tax
Gas and electricity
Water
Broadband
Home insurance
TV licence
Your estate agent or the seller can tell you the property's council tax band. Don’t worry, you don’t need to pay your whole council tax bill in one go – most people pay it over 10 months.
Service charges and ground rent
If you're buying a leasehold flat, you may pay a service charge for things like maintenance of communal areas and buildings insurance for the block.
There may also be ground rent, depending on the lease.
Check these costs carefully before you buy. A cheaper property might not work out cheaper overall once a high service charge is added in.
Repairs and maintenance
This is the one cost that refuses to stick to a neat number. Homes have a habit of surprising you. The best way to stay ahead of it is to keep a little repairs fund tucked away rather than throwing every last penny at the purchase.
Boilers break. Washing machines give up. A roof might spring a leak. None of it is fun, but having a bit of money set aside makes those moments feel manageable rather than overwhelming.
It's basically your home comfort safety net, and “future you” will be very glad it's there.
Insurance and protection
Your mortgage lender will usually require buildings insurance. Most people add contents insurance too, just in case an opportunist thief makes off with your laptop.
Depending on your situation, you might also want to think about things like life cover, income protection, or critical illness cover.
A mortgage adviser can help you work out how best to protect your home and family.
Extra costs if you're also selling
Moving home can work out pricier than buying your first property. That's because you've got costs on both sides. Knowing what’s coming upfront makes it much easier to plan for.
If you're selling your current home, you need to budget for:
Estate agent fees
An EPC, where required
Conveyancing fees
Removal costs
Early repayment charges on your existing mortgage
Costs linked to porting your mortgage
If you're buying and selling at the same time, get your head around how the costs fit together before you make an offer.
Worked example: the total cost of buying a £300,000 home
Let's bring this to life with some real numbers. The table below shows typical costs for both first time buyers and home movers.
Cost | First time buyer | Home mover |
5% deposit | £15,000 | £15,000 |
Stamp Duty | £0 (FTB relief) | £5,000 |
Conveyancing (buying only) | £1,500 | – |
Conveyancing (buying and selling) | – | £2,800 |
Survey | £500 | £500 |
Mortgage product fee | £999 | £999 |
Land Registry fee | £150 | £150 |
Bank transfer fee | £30 | £30 |
Removal costs | £500 | £500 |
Total cash needed | £18,679 | £24,979 |
This is just an example, so don't worry if your numbers look a bit different. Your actual costs could be lower or higher.
Want to work out how much you could afford? Request a callback or speak to a mortgage adviser.
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Something to bear in mind...
Frequently asked questions
There isn't one standard fee. For a straightforward purchase, you should budget around £1,000 to £2,000 for conveyancing.
Always ask for a detailed quote. It will show you exactly what's included and what you'll pay for separately.
Most first-time buyers in England and Northern Ireland don’t pay stamp duty on the first £300,000 of a property, assuming it costs less than £500,000. That's a nice bit of breathing room.
In Scotland there's no LBTT on the first £175,000 for first time buyers. Wales doesn’t offer first time buyer relief but – good news – it does have the highest tax-free threshold at £225,000. Most first time buyers will buy a property for less than that.
Some mortgages ask for just a 5% deposit. A bigger deposit can open up more mortgage deals, and potentially a lower interest rate.
For a £300,000 property, a 5% deposit is £15,000.
A small number of lenders offer 100% mortgages. So you won't need a deposit at all.
There aren't really any secret costs lurking. It's just easy to forget the smaller bills: searches, survey fees, Land Registry fees, mortgage fees, insurance and removals.
The best way to stay ahead of them is to ask your solicitor and mortgage adviser for a full list of what to expect. Then there are no surprises along the way.
If you're buying leasehold, check whether any major works are planned, as you'll need to pay your share.
Yes, some mortgage fees can be added to your mortgage. It depends on the lender and deal.
This can take the pressure off the cash you need upfront. But you'll pay interest on the extra borrowing, so factor that into the cost over the full mortgage term.