"Increases in fees for services and, in particular, for stamp duty has seen total cost of moving rise to the point where a single move costs nearly a third of the median annual salary."
Its data shows that even when adjusted for inflation, the average cost of moving in 2017 is the highest it’s been since 2010 – and marks the third consecutive year of increases.
44% of the total cost of moving is made up of estate agent fees, representing on average £3,254 of the total moving cost. With the average estate agent charging 1.2% of the house price, rates as a percentage of the price are at an all-time low. However, while estate agent rates might be falling, the 28% increase in average house prices means that estate agent fees remain similar in absolute terms.
This rise in house prices has also affected stamp duty, the second largest contributor to moving costs (27%). In 2017, the median property value would result in a stamp duty fee of £2,019 compared to £1,814 in 2007.
While stamp duty and estate agent fees make up the majority of costs, other, less prominent expenses, can equate to a large proportion of overall moving costs when they are combined.
Removal costs – the third most significant expense – can vary dramatically, depending on the distance of the move and the volume of possessions transported. With the national average currently at £380, these prices have not changed dramatically over the last decade.
Rob Houghton, CEO of Really Moving, said: “Increases in fees for services and, in particular, for stamp duty has seen total cost of moving rise to the point where a single move costs nearly a third of the median annual salary. While there is no simple fix, there are a number of measures that consumers can take to manage the condition. Buyers can reduce the cost by shopping around, using well-priced and well-reviewed conveyancers, surveyors, removers, and estate agents.”
