A 27% jump in moving costs is reshaping affordability checks and pushing more buyers to step back
Brokers are warning that the sharp rise in the cost of moving home is directly undermining buyer confidence and increasing the risk of cases stalling, as new figures show the average mover now needs £17,831 upfront, 27% more than a year ago.
Reallymoving’s Cost of Moving Report, based on 181,000 quotes, puts London’s bill at £32,786, a level Rob Houghton, the firm’s founder and CEO, said “swallows up 46% of the median annual salary in England” and is acting as “a significant barrier to mobility, market fluidity and broader economic growth.”
For advisers, these costs are reshaping the early stages of every transaction.
FTBs pulling back as budgets buckle
With first-time buyers facing £2,315 in fees before even discussing a deposit, brokers say momentum is slipping. David Titherington of The Mortgage Station said the increase “mirrors inflation and the state of the country today,” adding that FTBs “are usually hit hardest due to deposits tending to have to be stretched the furthest.”
Even where supportive products exist, advisers say the growing upfront burden is prompting more clients to delay or step back entirely.
Many brokers report that suitability discussions now start with cashflow and fee planning rather than sourcing.
At McKendry Dunion, Carolyn Dunion said rising costs are “definitely shaping how people move just now,” with buyers needing “a bigger cushion in their budget” as legal fees, surveys, removals and Stamp Duty stack up. She said she is now “spending more time upfront walking clients through the full cost of moving so there are no surprises.”
This early-stage education, brokers say, has become essential to prevent wasted sourcing work and vulnerable applications.
More buyers walking away
Some clients are still blindsided by the additional expenses, advisers report — and that is where cases can fall apart. Tom Pitman of TGP Mortgage & Protection said “a lot of things often get overlooked past the initial deposit they require,” citing solicitors’ fees, Stamp Duty, removals and estate agents’ charges.
As costs rise across the board, he said buyers must “ensure they have enough funds to make any move feasible,” noting that some are choosing instead “to stay put… and consider extending their current property.” Pipeline fragility, brokers warn, is the new normal.
In high-fee areas, the shifting numbers are visible in negotiation strategies. In Brighton & Hove, Oakdene Mortgages founder Rebecca Geer said moving costs have become “eye-watering,” especially for FTBs with 5–10% deposits. Buyers are increasingly submitting lower offers “just to try and balance out the upfront costs,” she said, adding that “even saving a few hundred pounds can make a difference when every penny counts.”
Sellers, in turn, are meeting a more cautious, price-sensitive buyer pool, yet another by-product of mounting upfront costs.
Stamp Duty overhaul?
Speculation over a possible overhaul of Stamp Duty is adding another layer of complexity for advisers. Reports suggest the Treasury is considering replacing the one-off tax with an annual property charge on homes over £500,000, a shift that could dramatically reduce upfront moving costs. Reallymoving estimates the typical outlay could fall to £8,081 if such a reform is adopted.
But the implications are far from straightforward. Any new levy would alter long-term affordability calculations, particularly in higher-value regions, and advisers say clients are already asking whether they should delay moving in anticipation of a change. As Houghton noted, the effect “remains uncertain,” with the outcome dependent on where the thresholds are set and how the tax is structured.
For now, brokers agree the realities of moving costs are reshaping the advisory process more than interest rates or product changes. As fees escalate and buyers become more cautious, advisers are being forced to deliver tougher conversations earlier, stress-test budgets more rigorously and prepare clients for decisions that increasingly hinge on cashflow rather than borrowing power.
Until the government provides clarity on Stamp Duty, the cost of moving itself is likely to remain one of the biggest brakes on the housing market, and a central challenge in every broker’s working day.
