What costs are involved with buying a property? Here’s what you need to know!

At Taylor Cole Estate Agents, we help to make the process of buying a property as easy as possible, clarifying the costs it will entail and preparing you as best as we can for a smooth transition into becoming a home owner.

When looking to purchase a property, there are several costs you need to know about. This includes:

Stamp Duty Land Tax (SDLT)

This is a tax that is payable when you buy a property at a price of over £125,000, and you can determine how much you will need to pay by using our online stamp duty calculator.

At the moment, there has been an extension to the stamp duty holiday, meaning that the level at which SDLT has to be paid has been raised from £125,000 to £500,000.

The holiday was implemented in 2020 and was aimed at helping buyers whose finances had been affected by the coronavirus pandemic, while boosting the property market hit by lockdown. You can find out more about what this means for the property market in our blog post “What Does the SDLT Holiday Mean for the Property Market?” 

It is always beneficial to discuss with your solicitor to get an understanding of how much SDLT you are viable for.

Mortgage Costs

There are a number of fees and charges you may need to pay when taking out a mortgage, including mortgage broker fees, mortgage valuation fees and possibly a mortgage arrangement fee.

A mortgage broker fee will be dependent on whether you use a mortgage broker, and the amount you pay will be dependent on the mortgage broker you use. Please discuss with your mortgage broker the fees they charge and the fees that may be applicable when applying for/obtaining a mortgage.

You should also be prepared to pay a mortgage valuation fee if a mortgage required, which is when the lender assesses the value of the property. The lender typically sends out a surveyor to assess the value of the property to ensure the property is suitable security for the mortgage loan required.

A valuation report is an assessment of what the property you are purchasing is worth, and a chartered surveyor calculates this. If you want to know what your home could be worth right now, our valuation calculator will give you a guide price, based on analysis of property data in the UK.

Your mortgage arrangement fee can sometimes be added to your mortgage loan. Please check this with your mortgage provider.

Surveyor’s Fees

You may also wish to have an independent survey on the property you are purchasing, and if so, there will be a surveyor’s fee.

Legal Fees

You will need a solicitor or licensed conveyor to carry out all the legal work when buying your home. This will typically involve a series of questions and “searches” to check for any local issues that could affect your enjoyment or use of the property.

This should also incorporate any electronic transfer fees, which pays for the transfer of mortgage money from the lender to the solicitor/conveyancer. It is important that you confirm with your solicitor the legal fees that will be incurred throughout the transaction.  

At Taylor Cole Estate Agents, we are well established within Tamworth, and are able to offer expert recommendations for solicitors or surveyors if needed.


This is your equity that you are putting into the property. On average it is 10% deposit that is required, however in the current market, some lenders are considering deposits for 5%. Generally, the bigger the deposit you pay, the more likely you are to obtain your a mortgage.

The government have also announced a 5% deposit scheme for first time buyers in order to turn “generation rent into generation buy”. 

Other costs

It’s important when purchasing a property you budget adequately to ensure affordability of your new home. You should consider on-going costs such as council tax, utilities and insurance, such as building and contents insurance, as well as general on-going maintenance costs.

Taylor Cole Estate Agents

As one of Tamworth’s leading estate agents, we have a range of enthusiastic and professional advisers who are committed to giving you advice on all aspects of buying a property.

We are forward-thinking sales and letting agents that help you to invest in your future the right way, preparing you properly for becoming a homeowner.

For more information about how Taylor Cole can support and advise you through the process of buying a property, give us a call on 01827 311412.