This will depend on how you choose to sell your house.
If you sell via the “traditional” route — hiring an estate agent and advertising on the open market — you will need to pay the following fees:
- Estate agency fees
These can be as high as 3% of the sale price, plus VAT. The average house price in the UK currently stands at £249,000, which at 3% would result in a fee of £7,470!
- Conveyancing fees
According to research by Which?, these range from £400 to £1,500 depending on how complex the sale is.
- Remortgaging fees
If you switch providers when selling and buying a new place, there may be an exit fee or early repayment charge. The latter is typically 1-5% of the loan amount.
In addition to these fees, there may be other costs to cover, such as:
- Repairs and home improvements
Many houses will require at least minor home improvements, such as updating the decor, to attract buyers. Some may need significant repair work.
- Removal costs
However you choose to move, you’ll need to budget for removal costs. These vary depending on your requirements and whether you opt for any premium services.
- Obtaining an Energy Performance Certificate (EPC)
Every seller must obtain an EPC if they don’t have a valid one. This costs between £50 and £120.
- Professional cleaning
You should make sure that your house is thoroughly clean before you leave. Many people opt for a professional cleaning service to ease the stress of moving.
- Incentives to encourage offers
Homeowners who struggle to sell their property might offer an incentive to attract buyers, for example, reducing the asking price for cash buyers or offering to include some furniture in the sale.
- Capital Gains Tax
If the property you are selling is a second home, there will be capital gains tax to pay. This is calculated based on the amount the property has increased in value since you bought it.
If you sell via a traditional or modern auction, you will avoid the estate agent’s fee but instead will have to pay an entry fee and commission to the auction house. The seller is also responsible for covering the cost of an auction legal pack.
Selling to a private buyer will allow you to skip the estate agent’s fees, but the buyer may ask you to make certain repairs or include items in the sale before they are willing to proceed with the sale.
By selling to a genuine cash house buying company, you can avoid some of the most expensive house selling fees.
How to Avoid Fees When Selling a House
Most people sell a house to buy another property. This could be to downsize, but it is more common for people to move from a lower cost house to a more expensive one, which means that every penny is precious. Why waste money on fees you don’t have to pay?
By selling “off-market” — without advertising on the mainstream market — you can cut costs dramatically. Several options are available for an off-market sale, including selling privately, selling at an auction (modern or traditional) and selling to a quick house sale company.
All of these options allow you to avoid estate agent’s fees. There is no need to advertise the property in a conventional way or offer viewings, so an agent is unnecessary. This is one of the biggest costs involved in selling a house; by removing it, you could save thousands of pounds.
Selling to a cash house buying company is the only way to avoid a hefty legal bill. You will need a qualified legal professional to advise you and to manage the paperwork of the sale. But if you sell to House Buyer Bureau, we can recommend a solicitor who specialises in the quick-sale market, and if you go with our recommendation, we’ll cover the cost (typically £400 to £1,500). Alternatively, we will give you £600 towards the cost of any solicitor you choose.
Another benefit of selling to a quick house sale company is that you can avoid repair and home improvement costs completely. We buy properties regardless of their history, location or condition. This means you won’t have to spend a penny on presenting your home for sale nor endure the inconvenience of getting the work done. The Advisory, an independent source of information for house sellers, recommends preparing a property for sale by cleaning, completing repairs and redecorating as a “minimum”, with an estimated cost of up to £7,150.
Selling to a Quick House Sale Company
There is no fee to pay when you sell to House Buyer Bureau, and you will avoid estate agents fees and legal costs. We make our money by buying your home at a discount to what it might fetch on the open market — we typically pay between 80% and 85% of the market value — and selling it on.
When you deduct the money saved on fees and preparing your property for sale — not to mention the ongoing mortgage costs and bills you’d have to pay while waiting for a buyer on the open market — selling to us can be a financially savvy move. It’s also a hassle and stress-free one! Check out our cost comparison chart below.
(1) Market estimates are that houses sell for 95% of asking price
(2) Average estate agency fee is 1.5% of sale price
(3) People spend an average of 1% on improving property prior to listing it for sale
(4) Average solicitors fees
(5) Assumes £200 monthly bills to pay whilst waiting to sell the house
(6) Assumes monthly mortgage costs of £450
Beware of companies offering to buy your home for more than 85% of its market value. How can they make a profit when they sell your house if they don’t buy it at a discount? The answer is, they can’t. Companies that make inflated offers typically chip away at this amount as the sale progresses or add extra fees to claw back some profit, leaving you with much less money than you bargained for.
House Buyer Bureau is a genuine cash house buyer. We have the funds to buy your property in as a little as 7 days or in a timescale that suits you. We pride ourselves on our transparent pricing and exceptional customer service.