RESIDENTIAL CONVEYANCING FEE STRUCTURE FOR PURCHASING A PROPERTY

Our fees cover all of the work required to complete the purchase of your new  home including dealing with registration at the Land Registry  and dealing with the payment of Stamp Duty Land Tax (Stamp Duty ) if the property is in England or Land  Transaction Tax (Land Tax) if the property is in Wales.

How long will my house purchase take?

How long it will take from your offer being accepted  until you can move  in to your house  will  depend on a number of factors. The average process takes between 8 – 10 weeks.

It can be quicker or slower, depending on the parties in the chain. For example, if you are a first time buyer, purchasing a freehold property with a mortgage in principle, it could take 10 weeks. However, if you are buying a leasehold property that requires an extension of the lease, this can take significantly longer, between 4 – 5 months or more. In such a situation additional charges would apply.

Stages of the process

The precise stages involved in the purchase of a residential property vary according to the circumstances. However, below we have listed the key stages:-

• Take your instructions and give you initial advice
• Send out our client care pack to you.
• Check finances are in place to fund the purchase
• Receive and advise on contract documents.
• Carry out searches.
• Raise enquiries with the sellers solicitors and request any missing documentation, for example, planning permissions.
• Review any management pack should the property by an apartment or subject to a service charge payment.
• Make enquiries of a land lord should the property be leasehold and a ground rent payable
• Give you advice on all documents and information received
• Go through conditions of your mortgage offer and report to you.
• Send final contract out to you for signature.
• Draft a Transfer deed
• Advise you on joint ownership
• Agree a completion date.
• Obtain your deposit funds
• Exchange contracts and notify you this has happened.
• Obtain pre-completion searches
• Prepare an invoice and completion statement .
• Arrange for all monies needed to be received from the lender and you.
• Complete the purchase
• Deal with payment of stamp duty/land tax
• Deal with application for registration at the Land Registry

Estimated Costs

We have prepared a table (see below) of the estimated costs of a purchase of both leasehold and freehold property, there are additional fees:

• For buying an apartment
• For buying a new build property
• If you are using the help to buy scheme on a new build purchase
• If you are buying a shared ownership property – £175.00 plus VAT
• If you are using a Help to Buy ISA – £50.00 plus VAT for each ISA
• If your lender issues their mortgage offer via the LMS portal and charge £10.00 plus VAT
• If you require language assistance (e.g. services in Polish or Russian)

Disbursements

Disbursements are costs related to your matter that are payable to third parties, such as Search fees. We handle the payment of the disbursement on your behalf to ensure a smoother process. There are certain disbursements which will be set out in the individual lease relating to the property or if you are buying a new build property. The disbursements which we anticipate will apply as set out separately below. This list is not exhaustive and other disbursements may apply depending on the term of the lease. We will update you on the specific fees upon receipt and review of the lease / new build documentation from the sellers solicitors.

Anticipated Disbursements *

• Notice of Transfer fee  – this is charged by the landlord and or management company under the terms of a lease. Often the fee is between £100.00 plus VAT – £250.00
• Notice of Charge fee (if the property is mortgaged) – this is charged by the landlord and or management company under the terms of a lease. Often the fee is between £100.00 plus VAT  – £250.00
• Deed of Covenant fee – this fee is charged by the landlord and or management company and can be difficult to estimate. Often it is between £100.00 plus VAT – £250.00 plus VAT.
• Certificate of Compliance fee – To be confirmed upon receipt of the lease and can range between £100.00 plus vat – £250.00 plus VAT.
• Engrossment fees – usually payable on new build properties and is a fee charged by the builders solicitors for the provision of the final document of transfer and plot plans and can range from £75.00 plus vat to £150.00 plus VAT.

*These fees vary from property to property and can on occasion be significantly more than the ranges given above . We can give you an accurate figure once we have sight of your specific documents.

You should also be aware that ground rent and service charge are likely to apply throughout your ownership of the property. We will confirm the ground rent and any anticipated service charge once we have sight of your specific documents.

Stamp Duty Land Tax/ Land Transaction Tax

This depends on the purchase price of your property and your circumstances. You can calculate the amount you will need to pay by using HMRC’s website or if the property is located in Wales by using the Welsh Revenue Authority’s website.

Our fee assumes that:

1. This is a standard transaction and that no unforeseen matters arise including for example (but not limited to) a defect in title which requires remedying prior to completion or the preparation of additional documents ancillary to the main transaction.
2. This is the assignment of an existing lease and is not a grant of a new lease
3. The transaction is concluded in a timely manner and no unforeseen complications arise
4. All parties to the transaction are co-operative and there is no unreasonable delay from third parties providing documentation
5. No indemnity policies are required. Additional disbursements may apply if indemnity policies are required.
6. You do not require language assistance (for example, legal services in Polish or in Russian)

For properties priced at £1,000,000.00 or more we charge at a charging rate of £150-180 plus VAT (depending on the fee earner handling your case) plus disbursements.