September 24, 2019
How much does it cost to sell a home?
Selling a home can sometimes be confusing, with different fees to consider at different stages of the process.
If you are thinking of selling your house, we’ve outlined the key costs and fees that you are likely to come across to help you on your way.
Estate agent fees
These fees vary depending between agents and will differ depending on your contract. Average high street prices are currently around 1.75% plus VAT for sole agency. It should be clearly stated.
In fact, some estate agents may quote a fee excluding VAT costs (which is against the law).
Here at Atkinson McLeod we charge a percentage commission fee, which allows the seller to get a comprehensive service. By doing so, we are more incentivised to achieve the highest possible price for your property and to get it sold quickly.
A solicitor or licenced conveyancer will handle the legal aspects of the selling process. They will either charge you a fixed fee or on an hourly basis.
In most cases, the fee is linked directly to the value of a property. It can cost between £500 and £1,500. Always take the time to compare quotes and read the small print.
If you’re also buying a property, the same solicitor can usually deal with that transaction as well. In this case, you can negotiate fees.
Home improvement costs
As well as any major repairs you may have to undertake, it’s advisable that you consider basic home improvements. This will not only boost the appeal of your property, but can help to speed up a sale.
Of course, the cost of improvements will vary depending on the work needed. However, giving the walls a fresh coat of paint, carrying out any minor repairs and giving the home a thorough clean are all cost-effective ways to add value to your property.
Energy Performance Certificate
Before you come to sell your property, you are legally required to have an Energy Performance Certificate (EPC). This can cost between £50 and £120.
The certificate provides information on the property’s energy efficiency, with A being the highest grade and G the lowest. Domestic energy assessors conduct EPCs. You can purchase them via your estate agent.
Since April 2018, properties with an EPC rating below E are not allowed to let out. As such, if your property has a poor rating you could be limiting the number of buyers as it might not be as appealing to landlords.
Early repayment charges
Most mortgages can be shifted to the new property you are moving to (known as porting). Unless you have paid off your mortgage, you may be subject to an early repayment charge.
This means that the amount you pay will differ according to any remaining balance, so always ensure that you have this arrangement in your mortgage.
You will also need to pay stamp duty if you are buying a home at the same time. The tax is charged on houses worth more than £125,000, with the rate charged depending on the price of the property.
If you’re also buying a home and require a removals van, costs tend to fluctuate. This is based on how many possessions you need to move, how far the move will be and what day you move. For example, it’s usually more expensive to move on Fridays and weekends.
Typically, you can expect to pay between £400 and £1,200, but some removal companies may offer a discount if you book well in advance.
It’s also a good idea to declutter before the day to reduce the amount of possessions you need to move.
For some more tips on getting your home sold, why not check out our recent blog on how to get more property viewings?
Here at Atkinson McLeod, we offer guidance on buying or selling a home in the capital. For more information on our services, please get in touch with us or contact one of our many branches, from Stratford to Balham.
To find out how much your home could be worth in the current market, you can also request a free and instant online valuation.