Selling property in the UK as a non-resident: Complete guide

Gert Svaiko

Been living in the UK and are now planning to move back home? Perhaps you have a UK holiday home or investment property, and now is the right time to sell it.

Whatever your plans, read on. We’ve put together a comprehensive guide for non-residents selling UK property, including info on fees, taxes and timescales.

We’ll also look at whether you need a solicitor and a real estate agent, and the steps involved in selling your property.

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Table of contents

How to sell property in the UK as a foreigner - a step-by-step guide

If it’s your first time selling a property in the UK, you’ll need to get to grips with how the process works.

You might have some knowledge of it based on your experience buying a UK home, but it’s a little different for sellers.

Let’s run through the main steps, so you know exactly what to expect.

1. Get your documents together

Before you do anything else, it’s a good idea to get all the required documents together. This could help avoid any delays later on.

Here’s what documents you’re likely to need

  • Your ID, such as a valid passport
  • Proof of address, such as recent utility bills or bank statements
  • An up-to-date Energy Performance Certificate (EPC)
  • HM Land Registry title documents
  • Documents relating to gas and electrical installations, servicing and checks
  • Planning permission and/or building regulation completion certificates for major works carried out on the property
  • FENSA or CERTAS certificates for windows and doors
  • Documentation relating to damp and/or subsidence guarantees
  • Other warranties or guarantees for major fixtures or works
  • All documents relating to the mortgage.

2. Choose an estate agent

The next step is to find an estate agent to market and sell the property.

You don’t have to use one, and there are online services available to help you sell your property yourself.

However, an estate agent could be useful - especially if you’re unfamiliar with the local property market, aren’t living in the UK or aren’t comfortable with hosting viewings yourself.

An agent can also take care of key tasks such as:

  • Carrying out a valuation of your home - this can help you set the purchase price.
  • Taking photographs of the property
  • Writing marketing copy
  • Listing it on property websites and marketing it in the local area
  • Hosting viewings
  • Communicating with buyers
  • Helping you review, negotiate and accept offers.

In the UK, estate agents don’t currently need to be licensed or registered. So to find a good one, you may need to rely on personal recommendations or online reviews.

3. Advertise the property

Now it’s time to officially put your property on the market and advertise it to potential buyers.

Before photos are taken and viewings conducted, it’s worth taking the time to prepare your property - to make it look its best and show off its best features. This may mean deep cleaning, decluttering and making minor repairs and improvements.

Your estate agent will play a central role in advertising the property, which may include listing in on popular UK property sites such as:

4. Appoint a conveyancing solicitor

As soon as your property is listed (or even before then), you’ll need to appoint a licensed conveyancer, solicitor or other legal representative.

They’ll play a vital role in the process, assisting with drawing up contracts, checking documents, offering legal advice and completing all legal and administrative tasks leading up to completion.

When choosing a legal expert, make sure that they are a member of the Law Society of England and Wales. Conveyancers must be members of the Council for Licenced Conveyancers.

5. Negotiate and accept an offer

Buyers can submit offers directly to you, but it could be easier if they go through your estate agent. They can help you negotiate with buyers, make counter offers and agree on a final purchase price.

6. Exchange contracts

Once an offer has been accepted, the buyer will carry out due diligence checks. This includes commissioning a property survey, and having their solicitor carry out title checks and searches.

After this work has been completed, it’s time for sale contracts to be drawn up, checked, signed and exchanged. This is legally binding.

The buyer may also pay a deposit at this stage, which they may forfeit if they withdraw from the transaction.

7. Work towards completion

Completion is the term used to cover all the final steps needed to complete the transaction, which includes:

  • Setting a completion date
  • Organising payment transfers, including the final balance from the buyer and any fees or taxes owing
  • Settling mortgages
  • Handing over the keys
  • Registering the transfer of the property title deed from your name to the buyer’s name with the Land Registry.
💡 Read more: The best UK banks for sending money abroad

Is now a good time to sell your property in the UK?

Your circumstances will have a lot to do with whether or not it’s the right time to sell your property in the UK. For example, how much you originally paid for the property and what prices are currently like in the local property market.

But looking at the UK property market in general, now could be a good time to sell.

House prices in the UK increased 2.4% year on year (as of October 2024) and properties are sellingAccording to data from HM Revenue & Customs, residential property transactions increased 9% to September 2024, compared to the previous year

So if you initially bought your UK home at a good price, now could be an advantageous time to sell.

terraced-houses-and-property-in-london-uk

How long does it take to sell property in the UK?

On average, a typical UK property tends to go under offer within 32 days and sell (to completion) within 25 weeks. However, it can take anywhere between 17 and 34 weeks.³

The time it takes to sell a property can vary based on a few factors, some of which may be beyond your control.

For example, the buyer may take longer than expected carrying out due diligence checks, or there may be an extra legal or other complication which takes time to resolve.

It may also depend on the asking price and how fast properties are selling in the local market.

Do you need a lawyer or a solicitor to sell property?

It’s strongly recommended to appoint a solicitor specialising in real estate or conveyancing work in the UK. They can draw up and translate documents, check over conditions of contracts, give you advice about the selling process and so much more.

This could make your property sale go more smoothly and crucially, help you avoid a costly mistake.

Do you need a UK bank account to sell property in the UK?

You may need a UK bank account in order to sell property in the country.

If you’re selling a UK home but live abroad, your conveyancer may ask you to provide details of an account held with a UK bank for at least 12 months prior to the sale.⁴

If you have an international account or off-shore account, you’ll need to speak to your solicitor to find out whether it can be used to send or receive money relating to the sale.

Another thing to note is that international transfers could get expensive, especially if the provider adds a margin to the exchange rate to convert your British pounds to your local currency. Consider checking out Wise to handle your international large transfers with mid-market exchange rates and low, transparent fees*.

Taxes and costs when selling property in the UK as a non-resident

Now, let’s take a look at the costs of selling property in the UK. There are a few fees and taxes you need to know about:⁵

Tax/fee nameRate/fee
Estate agent fees1% to 3% of sale price
Capital gains tax18% to 24% (on profit since 5 April 2015)⁶
Conveyancing feesAround £800 to £1,800

Estate agent fees

Estate agent fees in the UK vary between agents, but you can expect to pay anywhere between 1% and 3% of the overall sale price.⁵ This is likely to be one of the biggest costs you’ll face as a seller.

Capital gains tax

When you sell a property in the UK, you’ll need to pay capital gains tax (CGT) on the profit you make from it.

By profit, we mean the difference between what you paid for the property and what you sell it for, minus any fees and expenses.

There are separate rules for non-residents, known as Non-Resident Capital Gains Tax (NRCGT). This can be quite complicated, but here are the main points you need to know:⁶

  • All residential property falls under NRCGT rules, but there are exemptions if the property is your main residence
  • You’ll only pay tax on profits since 5 April 2015, which is when new capital gains tax rules were introduced for non-residents
  • The rate of CGT is between 18% and 24%, depending which taxpayer band you fall into.

Complicating things further is the fact that your own country may have rules on capital gains tax when you sell property abroad.

Tax can be extraordinarily complex, so it’s best to get advice from a tax specialist to help you understand your obligations.

Conveyancing fees

Another significant cost to factor in is your solicitor’s fees. These vary between around £800 and £1,800, depending on location, solicitor, the value of the property and the scope of the legal work completed.⁵

Does owning property in the UK make you a tax resident?

For anyone considering moving to the UK (or staying there if you’re a temporary resident), it’s useful to know about tax residency and how it relates to property ownership.

Owning a property may have an impact on whether or not you’re considered a tax resident in the UK.

According to the UK Government, you’re considered a tax resident if you have a home in the UK and all of the following apply:⁷

  • You had a home in the UK for at least 91 consecutive days
  • At least 30 of these 91 days falls in the current tax year, and you were present in that home for at least 30 days in that same tax year
  • You had no overseas home (or didn’t spend more than 30 days in one).

You’ll also be automatically considered a UK tax resident if you stayed in the UK for 183 days in the tax year,⁷ or if you have a permanent resident permit.

Save money with Wise international transfers

Once the deal is done, you might need to work out the best way to transfer the proceeds from your UK property sale back home if you don’t live in the UK.

Here’s where Wise can help you save money and avoid those pesky hidden fees and exchange rate markups. Open a Wise account online and you can send money from the UK for low, transparent fees* and great mid-market exchange rates.

Here’s an overview of the main benefits for using Wise:

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Sources used:

  1. GOV.UK - How to sell a home
  2. HomeOwners Alliance - Should I sell my house now?
  3. Zoopla - How long does it take to sell a house?
  4. The Law Society - Where should property sale proceeds be sent if the seller lives abroad?
  5. Zoopla - How much does it cost to sell a home?
  6. UK Property Accountants - A Guide to Non-Resident Capital Gains Tax (NRCGT) in the UK
  7. GOV.UK - RDR3: Statutory Residence Test (SRT) notes

Sources last checked on date: 20-Nov-2024


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This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Wise Payments Limited or its subsidiaries and its affiliates, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional.

We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.

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