Average Cost Of Moving Home Hits £11,624, Study Reveals

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If you’re thinking of selling up and looking for new timber frame houses in the near future, make sure that you squirrel away as much money as you possibly can to facilitate the move and ensure you have some cash left over once you’re in your new house.

This might be easier said than done right now, however, given new research from Lloyds Bank revealing that the average cost of upping sticks and moving elsewhere has now reached £11,624, climbing by £628 in the last 12 months.

The increase in house prices has been the main driver behind this hike, with estate agency and conveyancing fees, and stamp duty all being pushed up as a result. Stamp duty costs have climbed by 16 per cent this year, with more than half of the increase in moving costs associated with stamp duty rises. Legal costs and estate agency fees have both climbed by three per cent as well.

The total cost of moving has risen by 21 per cent (or £2,029) in the last decade, slightly greater than the average gross annual earnings and the percentage growth in average house prices for this period.

Interestingly, there are a few regional differences so if you’re not tied into moving to one particular place this might affect your decision about where to go. In London, for example, the average moving cost is £32,092, compared to between £6,418 and £8,092 in Yorkshire and the Humber, the north-east, Scotland, the north-west and Wales.

“The cost involved when moving home has continued to rise over the past year, making it even more difficult. Those looking to move in London are facing a considerable challenge with the cost involved being nearly three times the national average. The combination of both higher property prices and the rapid increase in those prices in recent years results in significantly higher moving costs,” mortgages product director at the bank Andrew Mason said.

Last month, Lloyds Bank also revealed that many first-time homeowners are now keen to become Second Steppers and start climbing the ladder with their second house… but 18 per cent of this demographic are finding it harder to do so than they did to buy their first home.

More than half of those still in their first property said they had intended to move up the ladder in the last year but haven’t been able to do so, with challenges cited like stamp duty, low savings rates, the increase in moving costs and difficulty in finding the right property.

Many have also said that they’ll have children later in life than they had originally planned, while others are saying that they’ll have fewer kids as a result – while 13 per cent admitted that they had to change their career because of the challenges posed by moving up in the housing market.

 

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