Whether you’re a first time buyer or moving up the property ladder, knowing what you’ll need to pay throughout the homebuying process can help you plan ahead. From your deposit and legal fees to Stamp Duty and the ongoing costs of homeownership, there are a range of fees when buying a new house you’ll need to consider.
This comprehensive guide covers everything you need to know about the full costs of buying a new home in the UK.
Key Takeaways
1. Deposit: You’ll need a deposit of at least 5% of the purchase price of the property. A larger deposit results in a lower Loan to Value (LTV).
2. Mortgage Costs: These include arrangement fees and mortgage broker fees. Some are paid upfront, while others can be added to your mortgage on completion.
3. Stamp Duty: As of April 2025, Stamp Duty is waived for property purchases up to £125,000. The 5% rate applies to homes between £250,000 and £925,000.
4. Surveyor Fees: Survey costs vary based on property value. Consider RICS Condition reports, Home Condition Surveys, or comprehensive building surveys.
5. Legal Fees: Solicitor or conveyancer fees range from £500-£1,500, including VAT. Costs depend on purchase complexity, property type, and location.
6. Repairs: If buying a newly built home, repairs are minimal. For other properties, budget for potential DIY tasks upon moving in.
What you’ll pay before completion
Before completion day, you’ll need funds prepared for your deposit and professional legal services.
Deposit requirements
Your deposit for a house is likely to be one of your largest upfront expenses. Most lenders require 5-20% of the property’s purchase price, though a larger deposit often unlocks access to more competitive mortgage rates and better lending terms.
Read our tips on saving for your deposit to help you get started.
Solicitor or conveyancer fees
When buying a property, you’ll need a solicitor or licensed conveyancer to handle the legal aspects of your house purchase. Your conveyancer fees may vary based on several factors, including the complexity of the house purchase, the property type, location and the expertise of the conveyancer. Typically, legal fees range between £500 and £2000.
Stamp Duty, surveys and mortgage-related costs
Beyond your deposit and legal fees, several costs form a large part of your homebuying budget, including government taxes, property assessments and various mortgage-related charges.
Stamp Duty Land Tax (SDLT)
Stamp Duty is a government tax charged when you buy a home. As of April 2025, buyers don’t need to pay Stamp Duty for homes up to £125,000. For first time buyers, the threshold goes up to £300,000. Find out how much Stamp Duty you’ll need to pay in our Stamp Duty guide.
Surveyor fees
A house survey provides a thorough inspection of a property’s condition, identifying structural issues, defects or potential problems. There are different levels of surveys depending on the property’s age and complexity, ranging from basic condition reports to detailed building surveys.
New build properties often benefit from a snagging survey, which is a detailed inspection of the house identifying defects or unfinished work that the developer should fix before or shortly after you move in. Issues can range from minor problems like chipped paint to more significant concerns like poor insulation.
Survey costs vary depending on your chosen inspection type. Read our guide to find out more about the different types of surveys available and their costs.
Mortgage arrangement, valuation and broker fees
Most lenders charge arrangement fees between £1000 and £2000, which you can either pay upfront or add to your mortgage balance. While adding it to your loan may seem easier, remember you’ll pay interest on this amount during your mortgage term.
Your lender will need to value your new property to confirm it’s worth the loan amount they’re offering. While certain estate agents often include basic house valuations, costs depend on the valuation type and provider. The more detailed the report, the more it’s likely to cost.
Using a mortgage broker can save you time and money by comparing deals across the market. Some charge fees ranging from £300 to £5000, while others earn commission from lenders. Mortgage brokers aren’t essential, but they can provide valuable market insight.
Moving fees
Once you have a moving date, you’ll need to consider the logistics of moving your belongings. Contact several removal companies to compare quotes. The cost depends on the number of belongings you’re moving, travel distance and the staff required.
If your moving date does not align with leaving your current home, you may also need to consider storage costs.
Removal company vs DIY moving costs
Using a removal company offers convenience and efficiency, with professionals handling the heavy lifting, packing and transportation of your belongings. They’re ideal for larger families, busy households or long-distance moves.
Moving yourself is budget-friendly and gives you full control of the process. Ideal for smaller moves and shorter distances, it provides packing flexibility and significant savings through van hire and help from friends and family.
Additional fees specific to new build homes
New build homes often require finishing touches like curtains, carpets and garden landscaping. These costs vary considerably, so don’t forget to factor these charges into your budget from the start of your homebuying journey.
Ongoing charges
From household bills to insurance policies, there are various ongoing expenses you’ll need to account for.
Annual maintenance
Most new build homes include comprehensive NHBC warranty coverage, meaning that for the first 2 years, most defects and issues are covered. However, ongoing maintenance costs still apply for:
- Boiler services
- Central heating checks
- Smoke and carbon monoxide alarm maintenance
- Garden upkeep
- Gutter cleaning and exterior maintenance
Set aside funds annually to cover these essential ongoing expenses.
Insurance
Buildings insurance is often a mandatory condition of your mortgage. The exact cost depends on your property’s value, location and your chosen coverage level. You may also want to consider contents insurance to protect your belongings. Arrange this before your completion date.
Consider life insurance and income protection to safeguard your mortgage payments if circumstances change. Shop around annually for better deals, but don’t just focus on the price. Check coverage levels and policy excess amounts, as cheaper policies with high excesses might prove more expensive when claiming.
Learn more about your new build home insurance options in our guide.
Bills and council tax
As soon as you move in, you’ll start paying council tax and utility bills. Council tax depends on your property’s band and local authority rates. You can check your new area’s band and the annual cost on your local council’s website.
New build homes often have energy-efficient benefits, keeping utility bills lower compared to older properties. Average costs will vary by region and your usage, but don’t forget to budget for the following:
- Gas
- Electricity
- Water
- Internet
- TV license
Ready to become a homeowner? Browse our range of new homes across the UK and explore our unique offers to help you move.
Call or visit our Sales Advisers to start your homebuying journey today.
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