When you're saving to buy a house, it's easy to focus on one big number: your deposit.
But your deposit isn't the only expense you'll need to budget for when buying a property.
From solicitor fees and surveys to moving costs and Stamp Duty, there are several expenses that can add up before you've even collected your keys.
And some of them might surprise you!
Whether you're buying your first home in Gloucester, moving house in Cheltenham or looking for your next property elsewhere in the UK, understanding the costs involved can help you prepare financially and avoid unexpected expenses.
1. Your mortgage deposit
Your deposit is usually the biggest upfront cost when buying a home.
Many mortgage lenders offer products requiring a deposit of 5% of the property's purchase price, although the amount you'll need depends on your circumstances, the property and the lender.
For example, here's what different deposit percentages look like on a £250,000 property.
Deposit percentageDeposit amount5%£12,50010%£25,00015%£37,50020%£50,000
Generally, a larger deposit can give you access to a wider range of mortgage products and potentially more competitive interest rates.
However, it's important to remember that your deposit isn't the only money you'll need available.
2. Solicitor and conveyancing fees
When buying a property, you'll need a solicitor or licensed conveyancer to handle the legal work involved in transferring ownership.
Their work usually includes checking the property's legal title, reviewing contracts, carrying out searches, dealing with your mortgage lender and arranging completion.
You'll also need to budget for additional expenses known as disbursements, which can include:
Local authority searches.
Water and drainage searches.
Land Registry fees.
Electronic money transfer fees.
Identity verification checks.
The overall cost will depend on the property, the legal work required and the firm you choose.
My tip: Ask for a detailed quote showing both the legal fees and expected disbursements, so you understand the total cost rather than just the solicitor's basic fee.
3. Stamp Duty Land Tax
If you're buying a property in England or Northern Ireland, you may need to pay Stamp Duty Land Tax (SDLT).
The amount depends on factors including the purchase price, whether you're a first-time buyer and whether you'll own another residential property.
For example, under the rates applying from 1 April 2025:
Standard residential buyers generally pay no SDLT on the first £125,000 of the purchase price.
Eligible first-time buyers pay no SDLT on the first £300,000, provided the property costs no more than £500,000.
Higher rates may apply if you're buying an additional property.
Scotland and Wales have different property transaction tax systems.
Stamp Duty rules and rates can change, so it's important to check the latest position when planning your purchase.
My tip: Don't assume being a first-time buyer automatically means you won't pay Stamp Duty. The purchase price and your eligibility both matter.
4. Property survey costs
A mortgage valuation and a property survey aren't necessarily the same thing.
Your mortgage lender may arrange a valuation to assess whether the property provides suitable security for the loan.
However, this is primarily for the lender's benefit and isn't a detailed assessment of the property's condition.
A separate survey can help identify potential issues with the property before you commit to buying it.
Depending on the property's age, condition and construction, you might consider:
RICS Level 2 Home Survey: Often suitable for conventional properties in reasonable condition.
RICS Level 3 Home Survey: A more detailed assessment, often considered for older, unusual or significantly altered properties.
Survey costs vary depending on the property and the type of report.
My tip: If you're buying an older property, particularly one that has been extended or altered, think carefully about the level of survey you need.
5. Mortgage fees
Some mortgage products come with fees, and it's important to consider these alongside the interest rate.
Common mortgage-related fees can include:
Product or arrangement fees.
Valuation fees.
Broker fees, where applicable.
Other lender-specific charges.
Some fees may be payable upfront, while certain product fees can be added to the mortgage.
However, adding a fee to your mortgage means you'll generally pay interest on it, increasing the overall cost.
A mortgage with the lowest interest rate isn't always the cheapest option once fees are considered.
6. Moving costs
Once your mortgage is arranged and your legal work is progressing, there's another expense to think about: actually moving!
Depending on how much furniture you have and how far you're moving, you might need to budget for:
A professional removal company.
Van hire.
Packing materials.
Storage facilities.
Cleaning your existing property.
If you're moving within Gloucestershire, you might be relocating just a few miles between Gloucester, Cheltenham or Stroud.
But even a relatively short move can involve costs, particularly if you need professional help or temporary storage.
My tip: Get removal quotes early, especially if you're hoping to move on a Friday or during a busy period.
7. Insurance
Buildings insurance is usually required by your mortgage lender and will normally need to be in place from exchange of contracts when buying a freehold property in England.
Buildings insurance covers the structure of your home against specified risks, while contents insurance protects your belongings.
If you're buying a leasehold property, buildings insurance may be arranged through the freeholder or management company, so check what's already covered.
You might also want to consider financial protection, such as life insurance, critical illness cover or income protection, depending on your circumstances.
These aren't generally compulsory mortgage requirements, but they can be worth exploring as part of your wider financial planning.
8. The costs of making your new house a home
This is one of the areas buyers can easily underestimate.
Even if the property looks ready to move into, there may be things you need or want to buy.
Think about:
Curtains and blinds.
Furniture and appliances.
Decorating materials.
Garden equipment.
Replacing locks.
Minor repairs and maintenance.
It's also worth checking exactly what's included in the property sale.
Just because an appliance, wardrobe or other item is there when you view the house doesn't necessarily mean the seller is leaving it behind.
The fixtures and fittings form will help confirm what's included, what's being removed and what might be available to purchase separately.
9. Leasehold and ongoing property costs
If you're buying a leasehold property, you may have additional costs to consider.
These could include service charges, ground rent where applicable, and fees associated with the lease or management company.
For some properties, service charges can be a significant ongoing expense.
Even with a freehold property, it's worth budgeting for council tax, utilities, maintenance and other regular household costs.
Understanding these expenses before you buy can help you work out what owning the property will actually cost each month.
10. Keeping some money aside for the unexpected
Buying a house is a significant financial commitment, and not everything will go exactly to plan.
You might discover that an appliance needs replacing shortly after moving in, or that a repair is more urgent than you initially thought.
That's why, where possible, it's sensible to avoid using every penny of your savings on your deposit and moving costs.
Keeping some money available for unexpected expenses can make those first few months in your new home much easier to manage.
How much money do you need to buy a house?
There's no single answer because the total cost depends on the property, your deposit, your circumstances and the services you need.
For example, two people buying properties at the same price could have very different upfront costs depending on whether they're first-time buyers, the mortgage product they choose and the condition of the property.
The important thing is to look beyond the deposit and build a realistic budget for the entire buying process.
Planning to buy a house in Gloucestershire?
At Hannah Miller Homes, we help first-time buyers and home movers understand their mortgage options and prepare for the costs involved in buying a property.
With 15 years of experience in mortgages, Hannah can help you explore your borrowing options and understand how your mortgage fits into your wider homebuying budget.
Based in Gloucestershire, we support customers across Gloucester, Cheltenham, Stroud, the Cotswolds and throughout the UK.
Whether you're just starting to save or already viewing properties, getting a clearer picture of the costs involved is a great place to start.
Bring your plans, I'll help with the rest.
Your home may be repossessed if you do not keep up repayments on your mortgage.