The cost of conveyancing in a home purchase has risen less than fees charged by estate agents and surveyors in the past decade, new research has revealed.
The average cost of conveyancing services for a purchase was £1,419 in 2014, amounting to around 12% of the total outlay on house-buying charges, according to a study compiled by Post Office Money and the Centre for Economics and Business Research.
That represented an increase of 37% compared with 2004, when the average conveyancing cost was £1,039.
But the rate of increase was significantly less than for other costs associated with moving home.
Stamp duty rose 87% to £3,620 in 2014, estate agent fees increased 61% to £5,214 and surveyors’ fees were up 51% to £607.
Only the cost of removals, which rose 21% from £855 to £1,034 over the decade, increased at a slower rate.
Estate agent fees now equate to 44% of the total costs, with stamp duty making up 30%. The total average cost of moving home has risen by 58% since 2004 from £7,475 to £11,894.
People hoping to move in the south-east have been hardest hit by the increases with costs jumping by 97% in the past 10 years, from £8,907 in 2004 to £16,510 in 2014. However, London remains the most expensive place to move home with an average cost of £27,946.
However, a survey of almost 600 people, conducted by research company Opinium on behalf of Post Office Money, found that the public significantly underestimate the costs associated with property transactions.
On average, those surveyed who were hoping to buy in the next three years estimated their costs would be £6,895, just 58% of what they should be budgeting.
John Willcock, head of mortgages at Post Office Money said: ‘With prospective home buyers’ attention firmly fixed on saving for a deposit, the additional costs of moving can often come as an afterthought – particularly for first-time buyers who are taking their first steps on the property ladder.’