How Much Can You Actually Move With? A Clear Breakdown For Homeowners
Most homeowners have no clear idea what their move actually looks like financially. Not just what their home is worth, but what they walk away with and what they can realistically buy next. Here is a clear breakdown of how to understand your true position before making any decisions.
How do you work out what you can afford to buy next?
Most homeowners start with their property value.
But that is only part of the picture.
The number that actually matters is:
➡️ What you walk away with after selling
Because that is what determines your next move.
Step 1: Your property value (starting point)
This is the headline number most people focus on.
Rightmove data shows average asking prices have increased by 2.8%, adding close to £10,000 to typical property values.
Source: Rightmove House Price Index
But this is only the starting point.
Step 2: Outstanding mortgage
Next, you deduct what is left on your mortgage.
For example:
• Property value: £400,000
• Mortgage remaining: £220,000
➡️ Equity = £180,000
This is your real position, not the sale price.
Step 3: Selling costs
These are often underestimated.
Typical costs include:
• Estate agency fees
• Legal fees
• Moving costs
Even a rough estimate of 1.5% to 3% of the property value can make a noticeable difference.
Step 4: What you are left with
After costs, your usable equity might look like:
• Equity: £180,000
• Costs: ~£8,000 to £12,000
➡️ Usable funds: ~£168,000
This is the number that matters.
Step 5: Your buying position
From here, your next purchase depends on:
• Your deposit (equity)
• Your borrowing capacity
• Current mortgage rates
For example:
If you have £168,000 and borrow £300,000:
➡️ You are looking at homes around £468,000
Why most homeowners get this wrong
They focus on:
“My home is worth £X”
Instead of:
“What does that allow me to do next?”
This leads to:
• Unrealistic expectations
• Poor timing decisions
• Hesitation
Why this matters more right now
Even small changes in value or borrowing can shift your position significantly.
A 2.8% change in value could mean:
• £10,000 gain or difference
• A different mortgage bracket
• Access to better properties
What this means for your decision
Moving is not just about selling.
It is about:
• Your outcome
• Your options
• Your next step
Clarity here removes uncertainty completely.
What to do next
The fastest way to understand your full position is to see everything together.