Buying a house is the most expensive purchase most people make. There are many costs involved, a number of which are linked to the conveyancing process. If you understand what these fees are when buying a house, you will be better prepared and be able to make sure you have all of the funds available.
Conveyancing costs vary considerably between firms, very often reflecting the level of service you will receive and the experience of your conveyancer. In any event, when obtaining a quote, you need to make sure that it is fully transparent, so that there are no hidden fees when buying a house. This is especially important since the introduction of regulatory requirements for costs transparency on conveyancing fees earlier this year.
The Conveyancer’s Fees
The actual legal fees for the conveyancing firm when buying a house will vary depending on several factors such as:
- The value of the property you are buying
- If the property Leasehold or Freehold?
- If the property a New Build or shared ownership?
- If you are taking advantage of any government Help to Buy schemes?
- Whether you wish to hold the title to the property in specific shares, necessity an Declaration of Equity
This is because the amount of information and complexity of the work involved when buying a house will vary, and more complex matters will require substantial additional time to process and check.
When you are buying a house, your conveyancer will carry out a number of searches: this can also vary depending on where you are buying a house. If you are obtaining mortgage finance, the lender will insist upon your conveyancer obtaining certain searches. Further information about searches can be found in this blog.
Land Registry Fees
Prior to completion of buying a house, you conveyancer will carry out an Official Search with Priority. This protects your interest in the property between completion of your purchase and the registration of your title being completed. The cost of this is currently £3 (or £4 for new build properties).
If you are getting a mortgage, your conveyancer will also carry out a bankruptcy search against your name to make sure you have not been declared bankrupt. The cost of this search is currently £2 per name.
Finally on completion of your purchase, your conveyancer will apply to Land Registry to register you as the proprietor of your new property. The Land Registry’s fee is dependent on the value of your property and ranges from £20 upwards.
Stamp Duty Land Tax
Stamp Duty Land Tax is a tax payable on the purchase of some properties dependent on the value of the property and your personal circumstances.
When buying a house, a good way to give yourself an accurate quotation is to use Farleys Online Quote Generator. This will include all the mandatory searches, Land Registry fees and Stamp Duty Land Tax as well as our fees.
When buying a house always be aware of quotes that look to good to be true as usually they are! Always make sure that you do your research and use a firm that provides you with a full and detailed quote.
To speak with an experienced solicitor about purchasing a property, please call 0845 287 0939 or submit your enquiry online.