Buying a home is one of the most exciting things you’ll ever do. It’s also one of the most significant financial commitments of your life – and, for many buyers, one of the most unexpectedly expensive.
Most people start by comparing mortgage deals and budgeting for their conveyancing solicitor’s fees. And whilst those are important – and we’ll come to them – there’s a whole host of additional costs that buyers regularly overlook. Getting caught out by these extra expenses can put real pressure on your finances at exactly the wrong moment.
At Boyletts Law, our experienced property lawyers work with buyers across Hertfordshire, Essex, and beyond, and we want you to go into your purchase with your eyes wide open. This guide is designed to help you plan ahead, avoid any nasty surprises, and feel genuinely prepared for what lies ahead.
Your Conveyancing Solicitor’s fees: what’s actually included?
Let’s start with the fees you’re probably already thinking about. When you instruct a conveyancing solicitor or conveyancing law firm, you’ll typically receive a quote broken down into two parts: the legal fee (the solicitor’s professional charge) and the disbursements (third-party costs paid on your behalf).
Disbursements are costs your property lawyer must pay to third parties as part of the conveyancing process. These commonly include:
- Local authority searches (checking planning history, road schemes, and other local matters)
- Water and drainage searches
- Environmental searches (checking for flood risk, ground contamination, and similar issues)
- Land Registry fees (for registering your ownership of the property)
- Bankruptcy searches and Land Registry priority searches
- Bank transfer fees (for sending completion funds)
At Boyletts Law, we believe in honest, transparent pricing. You’ll always receive a clear, itemised quote so you know exactly what you’re paying for before you commit.
Stamp Duty Land Tax (SDLT)
For many buyers, Stamp Duty Land Tax (SDLT) is the single biggest additional cost – and one that can run to tens of thousands of pounds depending on the purchase price.
SDLT is a government tax paid on property purchases in England and Northern Ireland above £125,000 for residential properties (or £300,000 for most first-time buyers, depending on the property price). The amount you pay depends on:
- The purchase price of the property
- Whether you are a first-time buyer
- Whether you already own another property (additional rates apply for second homes and buy-to-let purchases)
- Whether the property is freehold or leasehold
It’s important to note that SDLT rates and thresholds can change, and it’s always worth checking the current rates with your conveyancing solicitor or via the HMRC website when budgeting. At the time of writing, the temporary increased thresholds introduced during the pandemic have ended, so do check the current figures carefully.
Survey costs: don’t skip this step
A mortgage valuation is not the same as a survey, and this is a distinction that trips up a surprising number of buyers. A mortgage valuation is carried out for your lender’s benefit – it simply confirms the property is worth what you’re paying. It tells you very little about the condition of the property itself.
If you want to understand what you’re really buying, you should seriously consider commissioning an independent survey. There are broadly three options:
- RICS HomeBuyer Report – suitable for conventional properties in reasonable condition; typically £400 to £1,000
- Building Survey (full structural survey) – recommended for older, larger, or unusual properties; typically £600 to £1,500 or more
- Condition Report – the most basic level of survey; lower cost but provides limited detail
Whilst a survey is an additional upfront cost, it could save you a significant sum in the long run. Discovering a structural issue before you exchange contracts means you can renegotiate the price, request remedial works, or walk away – all of which are far better than discovering the problem after you’ve completed.
Mortgage-related costs
The cost of your mortgage isn’t limited to your monthly repayments. There are several additional fees to factor into your budget:
- Arrangement fee – charged by your lender to set up the mortgage; typically £500 to £2,000 (some lenders allow this to be added to the mortgage, though interest will then accrue on it)
- Booking fee – a non-refundable reservation fee charged by some lenders when you apply
- Mortgage valuation fee – paid to your lender for their own valuation of the property
- Mortgage broker fee – if you use a broker to find the right mortgage for you (though many brokers are fee-free)
Always read the small print on any mortgage product. A deal with a low interest rate but high arrangement fees may actually work out more expensive than a product with a slightly higher rate and no fees – particularly if you’re taking out a shorter fixed-term deal.
Buildings insurance: required from exchange, not completion
This is something that many buyers don’t realise until they’re close to exchange: buildings insurance needs to be in place from the moment you exchange contracts – not from completion.
Once contracts have been exchanged, you are legally committed to purchasing the property. If something were to happen to the property between exchange and completion (a fire, flood, or serious structural damage, for example), you could still be required to complete the purchase. Buildings insurance protects you in this scenario.
Your mortgage lender will also typically require buildings insurance as a condition of the mortgage offer. It’s a good idea to get quotes early so you’re not scrambling around at the last minute. Contents insurance is separate and worth considering too, particularly if you’re moving in with valuable possessions.
Removal costs and moving day expenses
It’s easy to forget about the practical cost of physically moving your belongings from one property to another – but removal costs can add up quickly, particularly if you have a large household to move or are relocating over a significant distance.
- Removal company fees – typically £300 to £1,500 depending on the size of the move and distance
- Packing materials – boxes, tape, bubble wrap, and packing paper
- Storage costs – if there is a gap between leaving your current property and moving into the new one
- Van hire – if you choose to handle the move yourself
It’s also worth setting aside a small contingency fund for the first few weeks in your new home – unexpected expenses always seem to arise, whether that’s a new key cut, a plumber to sort out that dripping tap, or a trip to the DIY shop for the things you’d forgotten you’d need.
Other costs worth planning for
There are a number of other expenses that can arise during the buying process or in the weeks immediately following your move. These include:
- Telegraphic transfer fee – your conveyancing law firm will charge a fee for transferring the purchase funds electronically on completion day
- Indemnity insurance – in some transactions, indemnity insurance policies are required to cover issues such as missing planning permissions or building regulations certificates. These are usually low cost but worth being aware of
- Leasehold-related costs – if you’re buying a leasehold property, there may be additional charges such as a notice of assignment fee payable to the landlord, or a deed of covenant fee
- New build reservation fee – if you’re buying a new build, many developers require a reservation fee to secure the plot
- Decoration and improvement costs – even if the property is in good condition, most buyers want to put their own stamp on things before or after they move in
How to budget realistically for your home purchase
The best piece of advice we can give is to add up all of these costs before you make an offer, not after. When you know the true cost of buying a property, you can make an informed decision about whether it’s affordable, whether you need to negotiate on the price, and whether your savings are truly sufficient.
As a rough guide, buyers should typically budget for an additional 3–5% of the purchase price on top of the price itself to cover the range of costs outlined above. On a property valued at £350,000, that could be anywhere between £10,500 and £17,500 in additional costs – a significant sum that’s well worth planning for.
Speaking with an experienced property lawyer or conveyancing solicitor at an early stage can also help you understand what costs are likely in your specific transaction. At Boyletts Law, we’re always happy to talk things through before you formally instruct us, and we’ll give you a clear, honest picture of the fees involved.
Speak to our property lawyers today
At Boyletts Law, we’re a modern conveyancing law firm based in Sawbridgeworth, on the Hertfordshire and Essex border. We help buyers and sellers in Harlow and Bishop’s Stortford as well as across the region with straightforward, transparent, and friendly legal support.
Whether you’re a first-time buyer getting to grips with the process for the very first time, or an experienced mover who simply wants a conveyancing solicitor they can rely on, we’re here to help.
Get in touch today on 01279 295047 or complete our enquiry form – and we’ll be in touch within 24 hours.