Wise home sellers have managed to save on the cost of moving home in spite of an 11.1 per cent increase in property prices over the last year. The findings come from the Cost of Moving Survey from the Woolwich. Andy Gray, head of mortgages for the Woolwich, says that sellers are in a strong position, which they are using to cut the cost of moving. He says: ‘The market definitely favours sellers at the moment and the lack of property on the market is helping them negotiate deals with estate agents, and to a lesser degree solicitors, as agents are desperately trying to find enough good quality property to satisfy the increasing demand. As a result the cost of moving for sellers has decreased by approximately 10 per cent since last year – it now costs on average £4,666 to sell a home compared to £5,181 last year.’
However the mandatory introduction of Home Information Packs in June is likely to affect sellers’ pockets, cancelling out any savings they make on moving home. The Home Information Packs, which must contain searches, legal documents and an energy assessment are estimated to cost around £400. Most estate agents agree that this will increase the cost of moving, though 77 per cent think that the introduction of Home Information Packs will not improve the home buying process. Buyers will save about £200 on the process, though this may be lost among high stamp duty charges.
Mr Gray comments: ‘Sellers not only have the advantage of there being more demand for property than is available, thus driving up asking prices, they are also squeezing the professionals for every penny they can to cut the costs of moving. In contrast, buyers are having to pay more or less the asking price to secure the property they want as well as forking out for stamp duty and other costs. Basically if you are seller moving into rented accommodation or abroad, it’s about as good as its gets at the moment.’
Related posts:
Leave a Reply