If you’re unsure what to expect when buying a house in the UK, it’s important to take the time to find out about what’s to come.

By identifying the hidden costs involved, you can get a better idea of the financial implications you could experience and whether you can truly afford to go through with the process.

Knowledge is power in these instances. Here’s what you need to know.

The housing market in the UK

The housing market has been somewhat rocky in recent years. Raising interest rates caused stress for those observing the housing market in a bid to buy, as the cost of borrowing was higher. Property price trends were unappealing for many first-time buyers during this period.

However, more recently, the housing market is showing more promising signs with some house prices dropping. Whether this is due to the recent surge putting people off buying, no one fully knows. Supply and demand also play a role in house prices, which could explain this. It’s been reported that house prices will continue to fall in 2024, making it a more appealing prospect.

Regardless, while it’s important to keep an eye on the housing market, it’s equally important to consider any hidden costs you could be subjected to.

What are the hidden costs you could face when owning a home?

Typical costs you need to prepare yourself for, on top of your mortgage, include:

• Deposit

• Stamp duty

• Survey costs

• Mortgage valuation fees

• Mortgage arrangement fees

Legal fees are an important aspect of buying a home – you should be diligent during this stage in case you’re subjected to conveyancing negligence where a firm hasn’t followed the proper processes or has provided a poor service with large financial consequences for you. If this is the case, you could be eligible for compensation.

Removal costs can come as a shock to some house buyers – and the final quote depends on the nature of the move. If you have lots of furniture and you need to move it over a long distance, this could end up costing thousands.

Additional costs you might be faced with once you’ve moved into your property include redecorating and buying the bulk of your furniture. White goods, for example, can be particularly expensive.

Once you’re more settled into your new home, it’s a case of setting up and continuing to pay your utilities bills, covering water, gas, electricity and council tax. On top of this, those living in a leasehold property may need to pay ground rent and a service charge, which goes to the freeholder.

Buildings insurance is highly recommended and so is contents insurance. Having these in place means you can enjoy added peace of mind and be financially protected from large, unexpected costs.  

To conclude…

Buying a house is a huge milestone – and whether you’re a first-timer or an experienced buyer, it’s always worth planning ahead to ensure that you’re financially prepared for the hidden costs that will inevitably come your way.