The UK homebuying process is increasingly being disrupted by unexpected costs, with nearly two-thirds of buyers reporting surprise expenses that delay or complicate their transactions, according to new research by digital conveyancing platform Smoove.
In a survey of recent homebuyers, six out of 10 (62%) said they encountered unanticipated costs, with 27% describing them as the most frustrating part of their purchase.
Renovation and repair bills topped the list of unforeseen charges, followed closely by legal fees, Stamp Duty, and moving costs.
The findings come amid broader concerns around the sluggish pace of transactions. A recent report by the Open Property Data Association found that property purchases are taking around a month longer than buyers anticipate.
FIRST-TIME BUYER RISK
First-time buyers appear most at risk, with 66% reporting unplanned costs, compared to 55% of those moving up the ladder. The disparity highlights a growing need for greater transparency and consumer education around the full financial scope of homebuying.
Despite conveyancing fees rising to £1.9 billion in 2024 – up 17% year-on-year – price alone is not the main concern for consumers. More than half of buyers (51%) said they would prioritise speed over cost, suggesting that efficiency and clarity are now paramount.
Matt Joy, chief growth officer at Smoove, says: “In what are often the biggest financial moments of people’s lives, the lack of upfront clarity adds unnecessary stress.
“Unbudgeted costs – from repairs and moving expenses to surveys and searches – can snowball quickly, putting deals at risk.”
COMPLETE DISCLOSURE
Joy wants to see earlier and more complete disclosure of costs to help buyers budget more accurately and reduce fall-throughs.
He adds: “Improving transparency at the front end will support smoother transactions and build trust in the system.”
For conveyancers, the research also signals a potential shift in pricing strategy. With fewer buyers focused solely on cost and Joy argues that firms should feel more confident in adopting value-based pricing that reflects service quality and reliability.
