Cost Of Moving Home | 5 Tips To Reduce Costs
The average cost to move home in the UK is more than £10,000 when you include everything from estate agent fees to removal costs. It’s a steep amount and entirely understandable if you’re asking how to move house on a budget and save a little bit here and there when moving home. After all, many believe that moving home is the most stressful thing you can do. Reducing costs can make it a little bit less stressful and give you a healthier bank balance. Here, we’ve got five handy tips for reducing the cost of moving home.
1) Consider a sole agent
You might be tempted to instruct as many estate agents as possible to sell your home. In theory, multiple agents working on your behalf to sell the property should lead to a quicker sale. But this isn’t always the case, and seeing the same house listed multiple times on property portals with different agents can make it seem like you’re eager to sell.
Beyond that, there’s the cost of moving home aspect. Listing with more than one agent is expensive as their fees are higher when they have to share the listing. Instead, consider a sole agent listing. They will have exclusivity over selling your home, but the fees are lower, and you can expect to save on the costs. In some cases, opting for a sole agency can save you up to 1% on fees. That’s a saving of £5,000 on a £500,000 home.
2) Choose a cheaper day to move
Most people move on a Friday, so they have the entire weekend to unpack and set themselves up in their new home. In fact, research shows that just under half of people pick Friday as their day to move. While you might have more time to sort everything out over the weekend, you can also expect to pay more in removal costs.
Removal companies are busier on Fridays and weekends, meaning their prices are usually higher. Pick another day during the week if possible to reduce cost of moving home. It could mean paying lower removal fees and saving on your overall moving costs.
3) How to reduce moving costs
Organising and packing are two of the most stressful parts of moving, and it’s usually all a bit of a mess as you work out which room contents go in each box. Therefore, hiring people to do it for you can be tempting, but that will only increase your overall moving costs.
Instead, it’s best to do your own packing (as tedious as it sounds). It will bring removal costs down as the handy people don’t have as much work on their plate. If you don’t have much stuff, you might want to consider doing it yourself.
You can save hundreds by skipping professional removal companies. Just make sure you don’t underestimate the work – even a one-bedroom apartment may contain a significant amount of belongings to warrant a removal van.
4) Reduce legal fees
There’s a price difference between conveyancers and solicitors, even though they ultimately do the same job regarding the legal work on your home move. Conveyances only specialise in property and are usually cheaper than solicitors.
You can save up to 25% on legal fees by opting for a conveyancer over a solicitor. That doesn’t mean you should pick the cheapest option, though. You want to hire a skilled person that will perform the legal side of property checks to a high level. It’s just that choosing a great conveyancer might be more cost effective of moving home.
5) Get a property report on your new neighbourhood
Where you move also contributes to how much you’ll pay, especially when it comes to house prices. Moving just a few streets away can significantly affect the house price and save you thousands. Some areas are also more expensive than others for day-to-day living costs.
With a property report, like the one from MoveiQ, you can get the lowdown on a postcode, including everything from house prices to the council tax band. Having this information to hand before you buy a property helps you make decisions about your next move and even saves you money in the process.
Is porting your mortgage cheaper than remortgaging?
When people move home, they tend to pay off their mortgage with the sale and get a new loan when they buy their next place. But there’s also the option to port your mortgage, which can actually work out cheaper.
Porting a mortgage sees you move your existing mortgage loan from one property to another when you move house, keeping the same lender in the process. Generally speaking, there aren’t fees associated with porting your mortgage as you’re staying with the same lender. For that reason, it can be cheaper.
That’s not always the case, though, and you’ll need to compare the interest rate to others on the market. However, it’s worth checking with your current lender to see if you can port your mortgage when you move. You may end up saving some money as a result.
Save on costs while moving home
Moving home can be a costly affair, but there are things you can do to reduce the costs of moving home. With the tips in this guide, you can save when moving and who knows? Perhaps you can use that little bit extra to buy some new furniture and decorations in your next home. One last thing to be aware off is your council tax when moving out, so make sure to do your research on this.
Last Updated: September 22nd, 2024
