02 Oct Costs of selling a house
There are a number of costs and fees incurred when selling a house that you’ll need to factor into your budget when selling your home in Scotland.
It’s best to work out costs involved prior to selling so that there are no nasty surprises further down the line. If you are buying and selling around the same time, costs will obviously be higher, so work out costs involved for both before-hand.
Home Reports were introduced in Scotland in December 2008. Sellers are required to provide a Home Report to buyers or potential interested parties. The Scottish Home Report includes three separate documents; a Property Questionnaire; a Single Survey; and an Energy Performance Certificate (EPC).
Estate Agent Fees
Estate agency fees can range from below 1% up to 3.5%, depending on the value of the property, and your location.
The estate agent charges usually include the following services
- Valuation – This involves researching the local market, looking at trends and past sales data. This then need formatting into a comprehensive report.
- Floor plans, measurements and photographs.
- Write up on your property to entice potential buyers
- The installation of a for sale sign.
- The organisation of viewings via telephone and online enquiries
- Cost of viewing
- Marketing the house on the internet
- Newspaper marketing
- Negotiation costs
- Other costs – estate agency office rental, fleet cars and general advertisement
You’ll normally need a solicitor or licensed conveyor to carry out all the legal work when buying and selling your home. Legal fees are typically £850-£1,500 including VAT at 20%. They will also do local searches, which will cost you £250-£300, to check whether there are any local plans or problems.
If you’re buying and selling a property at the same time your conveyancing fees will be higher, as your conveyancer will need to carry out work for both transactions.
LBTT (Land & Buildings Transaction Tax)
Land and Buildings Transaction Tax (LBTT) is the Scottish equivalent of stamp duty and is payable on properties costing over £145,000, or £40,000 for second homes and buy-to-let properties.
Like stamp duty, it’s tiered, so the amount you pay depends on the price of the property. For second homes and buy-to-let properties, an additional 3% is payable.
If you are moving to a new home don’t forget to factor in moving costs. The cost will vary depending on how much you are moving and how far you are moving. Get two or three quotes and look at customer reviews to choose the most suitable removal firm for your needs.
If you are looking to sell your property, the first thing you’ll need is a Home Report. We are RICS Charted Surveyors specialising in Home Reports across Scotland from as little as £85. Get in touch today to arrange a time to suit you. We offer early morning or evening and weekend appointments. Call us on 0131 608 0175 or email us at firstname.lastname@example.org