If you’re planning to sell in Gibraltar, keep reading for a detailed breakdown of the costs to consider and the current rates.
What is the cost of selling a home?
1. Estate Agent fees for selling a house
Estate agents typically charge a fee based on a percentage of the property’s sale price. These fees can vary depending on their interest in listing your home. Expect to pay between 2% and 3%, with most sellers paying around 2% for sole agency (using just one agent). If you opt for multiple agents to accelerate the sale, the percentage could rise to as much as 3%.
Some agents often offer lower fees, but you might need to handle more of the selling process yourself and may not receive the same level of personalized service or marketing.
Most agents work on a no-sale, no-fee basis, meaning you’ll only pay if they successfully sell your property.
Tip: Shop around before choosing an agent. Speak with at least three, ask detailed questions about their experience and sales strategy, and ensure you’re confident in their approach. Don’t base your decision solely on the lowest fees.
2. Legal fees for selling a house
Conveyancing fees are another significant expense to account for when selling a house. The amount you’ll pay depends on the firm you choose, the size and value of your property, and any additional complexities, such as if it’s a leasehold property.
Selling costs are typically lower than buying costs, ranging from £2,000 to £3,000.
These fees are made up of the solicitor’s professional charges and disbursements—expenses for searches and other third-party services included in your final bill.
As with estate agents, it’s wise to compare options before choosing a solicitor, but don’t base your decision solely on price. If you’re buying a new home while selling your current one, using the same solicitor for both transactions can streamline the process and may reduce costs.
3. Mortgage related fees
One key consideration when it comes to mortgages is the early redemption fee. Review your mortgage contract closely, as this fee can range from 1% to 5% of the loan amount.
Tip: If you’re both selling and buying, you may be able to "port" your mortgage, transferring it to your new property.
4. EPC Certificate
An up-to-date Energy Performance Certificate (EPC) is required to list your home for sale in Gibraltar. An EPC rates the property’s energy efficiency on a scale from A to G, providing buyers with valuable information, especially as energy costs are a significant concern.
To obtain an EPC, you’ll need to hire an accredited assessor to evaluate the property and issue the certificate. The cost is typically up to £350.
Tip: EPCs are valid for 10 years, but if you’ve made energy-efficient upgrades, it might be worth renewing your certificate sooner to improve your rating and appeal to buyers, particularly as Green Mortgages are available in Gibraltar giving better rates for energy efficient homes.
5. Removal Costs
Unless you have a small flat and access to a van, you’ll likely need a removals service. The cost will depend on the size of your property, the distance to your new home, and any additional services, such as packing or storage. Expect to pay anywhere from £400 to over £2,000.
Tip: Check whether your home insurance policy covers your belongings during the move.
6. Renovation Costs
Renovating your home before selling may feel counter-intuitive, as the benefits will go to the buyer, but it can be a smart investment to attract interest and expedite the sale.
Addressing any issues before they appear in the survey can prevent buyers from negotiating the price down or pulling out of the sale altogether.
Simple updates like redecorating in neutral tones, replacing flooring, and fixing minor problems you’ve grown accustomed to can make a big difference. Additionally, hiring a professional cleaning service for a deep clean can significantly enhance your home’s appeal.
Costs can range from under £50 for DIY touch-ups to over £5,000 for major repairs, such as installing a damp-proof course or replacing a roof.
7. Tax Liability
The good news is that you won’t need to pay stamp duty when selling your home—that responsibility lies with the buyer. However, it’s an important cost to keep in mind if you’re purchasing a new property.
It is worth bearing in mind that HMGoG are looking at implementing a sales tax for those that own 3 or more properties at the point of sale.
8. What is the total cost of selling a house?
The cost will largely depend on the size and condition of your home, as well as the level of service you select. To get started, if you’re planning to sell in Gibraltar, feel free to reach out. We’d be happy to provide a no-obligation market appraisal and discuss our fees and selling strategy with you.