How much does it cost to buy a house?

Thinking about buying your first home? Now is the perfect time to think about how much it will actually cost. 

While most people start by thinking about their deposit, there are a few other costs to keep in mind along the way. From legal fees and surveys to mortgage charges and even the cost of moving your belongings from A to B, there are plenty of extras that can catch you by surprise if you don’t plan for them. 

We know that the money side of things can often feel confusing, so here is a clear breakdown of all the costs you’ll want to consider.   

Cost: At least 5% of the property price

Your deposit will almost always be the largest single upfront cost. Lenders typically ask for at least 5% of the purchase price, but saving more will unlock more competitive mortgage rates, resulting in lower monthly repayments.

To put this into perspective, a 5% deposit on a £200,000 home is £10,000. A 10% deposit on the same home is £20,000, and 15% would mean £30,000.

While it can be difficult to save, using a Lifetime ISA (Individual Savings Account), can make a real difference to your savings pot. And at Gleeson Homes, we also offer helpful schemes such as our deposit contribution, making it easier for first-time buyers to take that all-important first step onto the property ladder. With our deposit contribution scheme, we’ll offer up to 5% towards your deposit, which you can use alongside your own deposit as a helpful boost.   

Estimated cost: 0-15% of the property’s price.

Stamp duty Land Tax (SDLT) is one of the biggest upfront costs you should consider when buying a home. It is a government tax that you’ll need to pay based on the price of the property you’re buying and whether it’s your first or second home.

The good news is that first-time buyers are exempt from Stamp Duty on properties up to the value of £300,000. For properties priced between £300,001 and £500,000, a 5% tariff is applied on the portion above £300,000, and no relief is available for properties over £500,000.

Estimated cost: Around £1,800

Conveyancing is the legal process that makes sure the property is transferred into your name correctly. A solicitor or licensed conveyancer deals with everything from local searches to contracts, making sure the sale goes through smoothly. 

According to Unbiased, Solicitor fees in 2025 typically range from £1,000 to £2,000 (excluding disbursements and Stamp Duty). This usually includes a basic legal charge of between £500 and £1,150, plus disbursements such as searches (£250 to £450), Land Registry fees (£200 to £300) and bank transfer costs.

According to Homeowners Alliance, first-time buyers purchasing a home up to £375,000 can expect to pay up to £850 for conveyancing fees, although the figure usually rises or falls depending on the property value.

While not a legal requirement to use a solicitor or conveyancer, it’s strongly recommended. Professional legal help reduces the risk of mistakes that could cost you money, or even the home itself.   

Estimated cost: £300 to £1,500 

A survey gives you peace of mind about the condition of the home before you commit to buying. The survey cost will depend on the type of survey you choose, along with the property price and the number of bedrooms it has. For many new build homes, a standard mortgage valuation, is all that is required and sometimes these can be free. This can be instructed alongside your mortgage. However, there are also paid for options to consider, such as:   

• A basic RICS Level 1 survey is a basic overview of the main features of the property and usually costs from £300 to £900.   
• A Level 2 Home Buyer survey is the most popular choice, ranging from £395 to £1,250, and provides a report on the condition and any urgent repairs.  
• A Level 3 Building Survey is the most detailed and is generally recommended for older or unusual properties. It costs £620 to £1,733 and often includes estimates for repair work.  

Estimated cost: up to £1,500

Most mortgages come with extra fees on top of your monthly repayments. A booking fee is usually £100 to £200, while an arrangement fee can be anything up to £1,500. Some lenders also charge a valuation fee, which is based on the property’s price but is typically around £300.

Sometimes paying a higher fee gets you a lower interest rate that works out cheaper overall, but in other cases it can cost you more in the long run. Compare deals carefully and remember, if you add fees to your mortgage, you’ll be paying interest on them for the full loan term.  

To learn more about applying for a mortgage as a first-time buyer, check out our helpful guide here. 

Estimated cost: up to 1% of the mortgage value

Many mortgage brokers are free for buyers to use because they are paid commission directly by the lender. However, others may charge the buyer instead, and this can be a flat fee of a few hundred pounds or up to 1% of the mortgage value. 

At Gleeson Homes, we work with Mortgage Advice Bureau, who are experts in new build mortgages and offer free, independent financial advice throughout the homebuying process. You can explore our mortgage calculator or visit their website to see how much you could borrow and what your repayments might look like.

Estimated cost: from £100s to £1,000s each year.

Buildings insurance is compulsory if you have a mortgage, as it protects the structure of your home against risks such as fire, flooding and storm damage. Premiums usually start from just over £200 per year, depending on the property and location.

Contents insurance, which protects your belongings, is optional but is important to consider too. Many homeowners also choose to take out life insurance to cover their mortgage if something happens to them, although this is not a requirement. The cost of life insurance can vary depending on your age, health and lifestyle.

Buying a home comes with several “hidden” costs that are easy to overlook, including:   

• Home Buyer Protection Insurance, starting from around £74, can reimburse you if a sale falls through.   
• Council tax and utility bills will be payable from the day you move in and can add thousands to your yearly bills.   
• Furnishing and redecorating your new home can quickly add up too, with furniture, appliances, and decoration often costing more than buyers expect.  

When you buy a Gleeson Home, you can expect essential appliances such as an oven, hob, and integrated cooker hood included as standard. You can also upgrade with extras like integrated fridge-freezers, washing machines, and dishwashers to make moving day even smoother.  

At Gleeson Homes, we’re proud to make homeownership more affordable for first-time buyers, with schemes designed to lower the barriers and make your move possible.

Ready to take the next step? Explore Gleeson’s developments today and discover the new build home that’s perfect for you.

Please note: Gleeson Homes is not regulated by the FCA and does not offer financial advice. We recommend you seek independent legal and financial advice.