By James Crawford • Published 23 February 2026 • Last reviewed 8 March 2026
By James Crawford • Updated March 2026
I get asked "how much does it actually cost to buy a house?" at least three times a week. And every time, the person asking has massively underestimated the answer. Estate agents quote the asking price. Mortgage brokers quote your monthly repayment. Nobody sits you down and says "right, here's everything you're going to spend before you get the keys." So I'm doing it.
The deposit is what you put up front — the rest comes from the mortgage. Minimum is 5%, but I almost always push clients towards 10%. The reason is simple: jumping from 95% to 90% LTV typically cuts your interest rate by 0.4–0.7%. That doesn't sound like much, but over 25 years it saves tens of thousands in total interest. I've seen it save people £40,000+ on a £300k mortgage. That extra few months of saving is nearly always worth it.
| Property Price | 5% Deposit | 10% Deposit | 15% Deposit | 20% Deposit |
|---|---|---|---|---|
| £250,000 | £12,500 | £25,000 | £37,500 | £50,000 |
| £350,000 | £17,500 | £35,000 | £52,500 | £70,000 |
| £500,000 | £25,000 | £50,000 | £75,000 | £100,000 |
One thing people forget: this cash leaves your bank account on completion day and goes to the seller. It's gone. You can't touch it again until you sell. Don't think of your deposit as "savings" — it's locked equity in a bricks-and-mortar asset.
Stamp duty is the tax you pay to HMRC on completion day. It's not optional, it's not negotiable, and since April 2025 the rates have gone back up. Here's what you're looking at:
| Band | Standard Rate | First-Time Buyer Rate |
|---|---|---|
| Up to £125,000 | 0% | 0% |
| £125,001 – £250,000 | 2% | 0% |
| £250,001 – £300,000 | 5% | 0% |
| £300,001 – £500,000 | 5% | 5% |
| £500,001 – £925,000 | 5% | Standard rates apply |
| £925,001 – £1,500,000 | 10% | — |
| Above £1,500,000 | 12% | — |
In practice, this means:
| Purchase Price | Standard SDLT | First-Time Buyer SDLT |
|---|---|---|
| £250,000 | £2,500 | £0 |
| £350,000 | £7,500 | £2,500 |
| £500,000 | £15,000 | £10,000 |
Use our Stamp Duty Calculator for exact figures — it handles first-time buyers, home movers, and additional property purchases. If you're buying with a partner where one of you has owned before, you lose the first-time buyer relief entirely.
Your solicitor handles the legal side of transferring ownership. Their fees run from £1,200 to £3,000 depending on the property value and whether you're buying freehold or leasehold. Don't go with the cheapest online factory — I've watched cheap conveyancers delay completions by weeks, costing buyers more in extended rental payments than they saved on fees.
Here's what you're paying for:
Your mortgage lender will do a valuation — but that's for them, not you. All it tells the bank is "yes, this property is worth enough that we'll get our money back if you default." It won't tell you the roof is leaking or the electrics are from 1973.
There are three types of survey you can commission (in order of how much they'll actually tell you):
I had a client skip the survey on a Victorian terrace to save £500. The surveyor I sent round after they'd exchanged found subsidence. Cost to fix: £35,000. The survey fee is always, always worth paying. No exceptions.
Most mortgage products charge an arrangement fee of £0–£2,000. Counter-intuitively, a product with a £999 fee can be cheaper overall than a "fee-free" product if the interest rate is lower. Your broker should model both options for you — if they can't show you the total cost comparison on a spreadsheet, get a different broker.
Other mortgage costs to budget for:
Everyone underestimates this. Professional removals for a 2-bed flat: £600–£1,200. A 4-bed house: easily £2,000–£3,500, more if you need storage between completion and move-in (which happens more often than you'd think when chains don't complete on the same day).
You can hire a van and do it yourself if you've got mates and not too much furniture. Budget £100–£400 for the van plus fuel. Just know that "one trip" always becomes two, and you'll end up making a third run for the stuff you forgot in the garage.
| Cost | £250k (FTB) | £350k (FTB) | £500k (Mover) |
|---|---|---|---|
| 10% Deposit | £25,000 | £35,000 | £50,000 |
| Stamp Duty | £0 | £2,500 | £15,000 |
| Legal Fees + Searches | £1,800 | £2,200 | £2,800 |
| Survey (Homebuyer Report) | £500 | £600 | £750 |
| Mortgage Fees | £500 | £750 | £1,000 |
| Removal Costs | £800 | £1,200 | £1,800 |
| Immediate Setup Costs | £1,000 | £1,500 | £2,500 |
| Total Upfront | ~£29,600 | ~£43,750 | ~£73,850 |
These are mid-range figures. Your solicitor might charge £500 more, your survey might be cheaper, and "immediate setup" could mean £300 or £3,000 depending on whether the boiler survives its first winter under your ownership. My advice: take whatever total you land on and add 15%. Property transactions have a talent for throwing up costs you didn't see coming, and they always arrive at the worst possible moment.
Ready to model the ongoing costs?
Compare Buying vs Renting →Minimum is 5% of the purchase price. A 10% deposit is recommended as it typically unlocks significantly better interest rates. On a £300,000 property, the minimum is £15,000 but £30,000 is the practical target.
First-time buyers pay 0% on the first £300,000 and 5% on the portion between £300,001 and £500,000. On a £350k property, a first-time buyer pays £2,500 in SDLT — versus £7,500 for a home mover.
Buyers in a balanced or buyer's market can and should negotiate. Sellers are typically aware of the high stamp duty and total costs their buyer faces, and may accept a reduction — particularly for properties that have been on the market more than 8 weeks. A £5,000 reduction is easier to justify now that stamp duty has increased.
In most UK cities outside London, buying becomes cheaper than renting after approximately 6–9 years — factoring in all upfront costs, mortgage interest, and the equity built. Use our Buy vs Rent Calculator to model your specific situation with local rent and price data.
Sources: HMRC SDLT guidance, HM Land Registry registration fee schedule, RICS survey fee guidance, UK Finance mortgage cost data. Figures are indicative and vary by location and provider. This article is for information only. See our Disclaimer.