Unexpected costs are proving a significant obstacle for UK homebuyers, with new research from conveyancing platform Smoove revealing that nearly two-thirds of recent buyers encountered unforeseen expenses during their purchase.

Among the 62% affected, over a quarter (27%) cited these costs as the most frustrating aspect of the homebuying process.

The survey highlights renovation and repairs as the most commonly reported unanticipated costs, followed closely by legal fees and one-off expenses such as Stamp Duty and moving charges.

These costs are contributing to wider transaction delays – a concern also reflected in recent findings from the Open Property Data Association, which showed that purchases are taking an average of one month longer than buyers expect.

First time buyers are particularly vulnerable, with 66% experiencing unplanned costs compared to just 55% of so-called second steppers.

The disparity suggests a lack of awareness among those entering the market for the first time, underlining the need for better education around the full scope of buying a home.

RISING CONVEYANCING FEES

Despite the pressure from rising conveyancing fees – which totalled £1.9bn in 2024, a 17% increase year on year – none of the respondents flagged these as the most frustrating part of the transaction.

“Rather, it is the lack of transparency and the impact of unanticipated financial demands that appears to be causing greater discontent. Over half of homebuyers surveyed (51%) said they would prefer a faster process to a cheaper one.

LACK OF CLARITY

Matt Joy, chief growth officer at Smoove, said: “In what are normally the biggest financial moments in a person’s life, the lack of clarity in property purchases and sales adds a completely new and preventable layer of strain for consumers.

“Central to this is the potential for spiralling, unbudgeted costs. From unexpected outlays on repairs, moving costs, surveys or searches, unplanned expenses can add up quickly and contribute to the stress and pressure on the transaction itself.”

He added that improving transparency and providing more complete information earlier in the process would help buyers budget more effectively and reduce the risk of delays and transaction failures.

“Resolving issues like this will help reduce delays and fall-throughs, and ultimately build more trust in the process, encouraging consumers to move more frequently,” said Joy.

CONVEYANCING IMPLICATIONS

The findings also carry implications for conveyancers. With price not the deciding factor for many homebuyers, Joy argued that firms should feel empowered to adopt value-based pricing strategies.

“Conveyancers can take comfort that charging the right amount for their expertise won’t be a deal-breaker for consumers, so long as it is planned for and supports a smoother transaction experience, enabling more sustainable business models in the industry,” he said.

The research paints a picture of a market where clarity, not cost, is the critical factor. As transaction times lengthen and homebuyers grapple with a range of unforeseen charges, there is growing momentum behind calls for reform to make the process more transparent, predictable and manageable for all parties involved.