London homeowners face almost £50,000 in transaction costs when moving up the property ladder before even accounting for the difference in value between their old and new homes, research reveals.
Yopa estimates the combined cost of selling and buying when upsizing in the capital at £47,704.
Across England, homeowners face an average £15,513 bill when moving from a flat or terraced property into a semi-detached or detached home.
That comes on top of an average £140,548 gap between the £231,746 value of the smaller property and £372,293 price of the larger home.
COST OF MOVING
Yopa calculates that selling an average flat or terraced house costs £4,902 once estate agency fees, conveyancing, an EPC and removals are included.
Buying the average semi-detached or detached home adds another £10,610 through Stamp Duty, conveyancing and a homebuyer report.
Stamp Duty accounts for the majority of the buying costs, with Yopa estimating an average bill of £8,615.
Verona Frankish (main picture, inset), Chief Executive of Yopa, says: “When upsizing, the obvious consideration is the difference between what your current home is worth and the price of the property you’re looking to purchase, but that’s only part of the financial equation.
“There are costs on both sides of the transaction and, when combined, the average upsizer in England is looking at more than £15,000 simply to sell their existing home and purchase the next one.”
REGIONAL DIVIDE
Moving costs vary substantially around England, with the South East recording the second-highest estimated bill at £24,216.
That is followed by the East of England at £18,353 and South West at £16,571.
Upsizers face estimated costs of £12,028 in the West Midlands and £11,091 in the North West, falling to £9,917 in the East Midlands and £9,057 in Yorkshire and the Humber.
The North East is cheapest, although homeowners still face an estimated £7,066 in costs.
Frankish adds: “Stamp Duty is by far the biggest contributor and this means those climbing the ladder in higher-value markets are hit particularly hard, with the cost of upsizing rising to almost £50,000 in London.”
