By using our site, you agree to our cookie policy.

Costs of Buying a House

The value of a property isn’t the only cost you’ll be paying for. This guide takes you through all the costs of buying a home, from your deposit to mortgage fees, surveys to insurance.


What's the Price Tag?

Buying a house is a significant milestone in your life, but it comes with a variety of financial considerations. There’s the obvious big price tag: the property itself. And you can work out what you can afford to borrow by using a mortgage calculator. But what about beyond the house price?  To avoid unexpected surprises rearing their head just when you’re reaching the bottom of the piggy bank, it is essential to understand the various costs associated with buying a house. In this comprehensive guide, we will explore the key expenses involved, including the deposit, stamp duty, conveyancing fees, mortgage fees, removal costs and more. Though the costs will vary depending on your situation (like removal costs, for example, which vary depending on the size of the house etc.) you can use this as a template to work out exactly what you’ll be expected to pay for. That way you can buy your new place, secure in the knowledge that it’s a no-skeletons-in-the-cupboard kind of property. All statistics below are based on research on research from in 2023.

Upfront Costs

The costs of buying a house can be divided into upfront and ongoing costs. Upfront costs may not all come in one lump, but they’re payments you’ll have to make in order to move in. Ongoing costs are the payments you’ll have to continually make in order to maintain your ownership.

Usually between 5% - 20% of total value of the house


Your deposit will probably be the first large chunk of money that you’ll be parting with during the house purchasing process.  The deposit is the initial lump sum required by the seller to secure the property. Your purchase will be split into two parts: the mortgage (your loan), and your deposit (your own money, which represents your equity in the property or how much you own outright). Your deposit will be calculated as a percentage of your total house price, The deposit is typically a percentage of the total purchase price, and the specific amount varies depending on the lender's requirements and the property itself.

Though you can get a 100% mortgage (meaning you pay £0 in deposit, it’s all loan), these generally have very high interest rates and require a guarantor. In general, most lenders expect a deposit of at Saving for a deposit is often one of the biggest financial challenges for homebuyers. Many choose to move back in with parents or friends in order to reduce rent and increase saving potential. Whilst any deposit is a great start, and many first time buyers start with a 5-10% deposit, the benefit of a bigger deposit is that it will reduce your monthly repayment plan.

£6,500 on average

Stamp Duty

Stamp duty is a tax by the government on the purchase of a property. You pay this when you’re buying, not selling. The amount, which varies but was found to be £6,500 on average by Which?, is based on the property's value and differs depending on the location of your desired property. In recent years, stamp duty rates have been revised, with different thresholds and rates for first-time buyers and homeowners, these rates will all be fixed until 2025.

If you’re not a first time buyer, these are the thresholds:

  • Under £250,000 = 0%

  • The next £6576,000 ( portion from £250,001-£925,000) = 5%

  • The next £575,000 ( portion from £925,001 to £1.5 million) = 10%

  • Over £1.5 million = 12%

If you are a first time buyer, the bands look like this:

  • Up to £425,000 = 0%. If you are a first time buyer you receive ‘First Time Buyers Relief’ and the nil rate increased to £425,000 in 2022. So, you won’t pay Stamp Duty on the first £425,000 of the property’s value. 

  • Between £425,001 to £625,000 = 5%

  • Over £625,000 = the same as a non-first time buyer.

If your property is over £625K you won’t be eligible for first time buyers’ relief. The thinking here is that if you’re in a place to buy a first home that’s over £625,000, you won’t need the tax relief.

It’s wise to consult the latest stamp duty regulations or seek professional advice to determine the exact amount you will need to pay. For more information about Stamp Duty, check out our stamp duty page.

£2,003 on average

Conveyancing Fees

Conveyancing (link to Strike conveyancing page)  refers to the legal process involved in transferring ownership of a property. Engaging either a solicitor who specialises in conveyancing or a licensed conveyancer is necessary to handle the legal side of the purchase. This includes drafting contracts, arranging disbursements and exchanging contracts. Conveyancing fees can vary depending on the complexity of the transaction and the organisation or person you choose to go with. In general, though, they tend to be split into:

  1. The cost of their service, and -

  2. Disbursements  (which are repayments to your conveyancer for the extra charges they pay on your behalf to 3rd parties for things like Local Authority Searches, Water and Drainage Searches etc.)

In general conveyancers are cheaper than lawyers, though as we said it can vary. Wondering where to find a conveyancer? You could ask friends and family, explore google, ask your estate agent or speak to your lender or broker. We recommend speaking to a few conveyancers and getting quotes from each, in order to compare costs and services.

£649 on average

Removal Costs

Buying a property often involves a physical relocation. If yours does, then you may require professional assistance. You may want to do all the heavy lifting yourself, or with your mate Dan the Van Man who owes you a big favour. In general though, remember that removals and moving can be time-consuming, physically strenuous and quite stressful. If you’re doing it on your own? We admire you. If you require professional help? Remember to budget for it. Removal costs depend on factors such as the distance, number of stairs, the volume of belongings, and additional services like packing and unpacking. It is advisable to obtain quotes from several reputable removal companies, ensuring they are adequately insured and have positive customer reviews. Planning ahead and booking removal services in advance can help minimise costs.

Between £300 and over £1000 on average

Survey Fees

After your offer has been accepted and before you exchange contracts is the prime time to conduct surveys. What are they? Surveys are designed to uncover any issues that might not have been visible to the untrained eye (i.e. the eye that’s more focused on the jacuzzi feature in the bath, than the black mould on the ceiling.) Whilst surveys aren’t cheap, they could save you buying a house that has fundamental flaws that you’re not willing to face. Surveys also save you money on repairs later, as you could request that the seller makes repairs before the sale can advance. Alternatively, you could request that the seller reduce the price if you find issues like structural flaws or mould etc. The cost can vary depending on the value of the house and the level of survey you want to have done. You can get a basic survey, or a very thorough one.

£250 on average

Mortgage Valuation Survey

Your mortgage lender may want to conduct a survey in order to check that they’re lending you the right amount of money. They want to avoid lending you a mortgage that is beyond the value of the house. That would be risky for them, especially when you came to sell the house and could potentially find that the house is valued at less than when you bought it, and you’re unable to pay back the mortgage in full. Though they used to be very common, lenders often don’t do it these days. Some mortgage companies may try to entice you with a free valuation, but they generally cost upwards of £250.

£999 to £1,999 on average

Mortgage Fees

Obtaining a mortgage often involves additional fees and charges. These fees can include arrangement fees,  mortgage broker fees, and early repayment charges, among others. Arrangement fees are charged by the lender for setting up the mortgage. Mortgage broker fees may apply if you choose to work with a broker to find the most suitable mortgage deal for your circumstances. Early repayment charges would come later down the road. These are essentially fines which you incur if you pay your mortgage back too soon, like if you decide to sell up and pay off your mortgage before the end of your agreed term.

Mortgage companies charge in different ways: some charge as a percentage of the value of the house, while others charge a flat fee. Some are “fee free” but it will mean that your mortgage rates are higher. Some lenders insist on up front payment (which is good if you want to avoid accruing interest), whilst others can add it to your mortgage repayment costs (which is good if you would rather not pay a lump sum of money at the point of purchase.) 

Mortgage protection insurance offers financial security should you be unable to meet mortgage repayments due to illness, redundancy, or other circumstances.

£4,544, based on a fee of 1.42%

Estate Agent Fees

Most estate agents will charge you for the service. Some charge a flat fee, whilst others charge as a percentage of the sale price of the property.

Here at Strike we don’t believe in doing things a certain way, just because it’s been done like that for a long time. We’re mixing things up and pride ourselves on charging 0% commission for our estate agent fees. No hidden costs, no last minute surprises - just a free estate agent. What do we charge for? Optional add-ons. And YES these are actually optional, there’s no obligation to use our add-on services. Our add-ons include things like our financial services (who can sort you a great mortgage deal) and removal services. 

So, you could use Strike as your estate agent and come out with a bill of £0. That’s a big saving when you consider that the average cost of an estate agent is £4,544.

Ongoing Costs of Owning a House

Though you won’t be paying rent anymore, owning a house (sadly) doesn’t mean your overheads disappear completely. Of course you will have your monthly mortgage repayments, which you can calculate here. Beyond that, your main ongoing costs will be bills and maintenance costs. This includes insurance.

£300 on average


Home insurance is necessary to protect your property against unforeseen events. You can get different types of insurance depending on your property and the sort of cover you want, but most people opt for a combined building and contents policy. This means both the property itself and the contents within are protected. You can talk to your insurance company about what policy might work for you, as you will want to avoid both getting too little cover or being over-insured and paying too much. Most mortgage lenders require buildings insurance to be taken out to cover your home for the term of the mortgage. You can compare insurance deals to find the best deal for you.

There are other costs too, including:

  • Water, gas and electricity bills - these bills will vary, but will probably add up to a couple of hundred pounds a month. You can use a bills calculator to work out how much you might be paying. Though bills have increased in 2023 due to inflation, the government is offering some discounts, which you can explore on their website. 

  • Council tax – this is paid to your council each month. It will vary depending on who your local authority is and the size of your house. 

  • Ground rent – if you live in a leasehold property, you may have to pay ground rent to the freeholder - which is a token fee to essentially rent the land that your property sits on. 

  • Service charge – this is relevant if you live in a shared building, like in a flat. Service charges cover the maintenance and management of your building, like for shared spaces and services. You may also contribute to a fund for repairs and redecoration of communal areas, like hallways, lifts and roofs. 

  • Residents’ parking – in some areas you will have to pay to park your vehicle on the street. You tend to buy the permit for 6 months or a year. You can also usually purchase passes for visitors.

  • Maintenance and building work – though you will have had a survey to look for issues in the property before you bought it, unexpected repairs can pop up. When you’re renting, it’s usually the responsibility of the landlord to deal with the boiler breaking or some damp on the walls. When you own the property, you have to budget for these unexpected costs. 

  • Television, broadband, cable and telephone – these are optional costs, but most people require wifi at least. You should find out who your local provider is before moving in – you could see who the previous owner used.


Buying a house involves a range of costs beyond the purchase price. Understanding and budgeting for these expenses is vital to ensure a smooth and financially manageable homebuying experience. From the initial deposit to stamp duty, conveyancing fees, mortgage costs, and removal expenses, being aware of these financial considerations enables you to plan effectively and make informed decisions throughout the process. If you need help working out what you’ll have to pay, then why not consider some professional advice? Here at Strike, we’re always happy to help. Plus all your information is neatly tucked away in the Hub, so you can control every aspect of your house purchase, all from your pocket.