When Do You Pay Conveyancing Fees
When it comes to buying a house, you will probably want to know how much you will pay in conveyancing fees and when you will have to pay them.
The process of buying a property can take a long time to complete, and there is a lot of paperwork involved, so it can be quite costly.
Knowing the correct information about conveyancing solicitor fees can help you manage your expectations and budget. Continue reading this article to discover more information on this topic.
When Do You Pay Conveyancing Fees?
When do you pay conveyancing fees? If you are selling your current property and wish to purchase another, the conveyancing process starts as soon as an offer is made on your property. This offer signifies the beginning of the chain, enabling you to start making offers on your new dream property.
Once you receive an offer, it's time to contact a conveyancing solicitor since the conveyancing process has officially commenced. Your solicitor will ask for a payment on account before starting their service.
At Bell Lamb & Joynson, we always provide transparent conveyancing costs, giving you a modern approach to conveyancing coupled with our expertise.
The conveyancing fees will include third-party expenses, such as searches, ID checks, purchasing official copies from the HM Land Registry, and various other expenses. The conveyancing cost will depend on several factors, including the property involved, its cost, and whether it's a freehold or leasehold property.
The Different Types of Conveyancing Fees
The conveyancing process involves two main types of fees, which are described below.
Conveyancing Legal Fees
The amount of money paid to the solicitor for the time spent processing the transactions is known as the conveyancer's basic fee. This is the fee that is paid to your conveyancing solicitor and covers their legal fee for handling the process of buying or selling a property.
Disbursement Fees
Disbursement fees include all administrative fees, including those that your conveyancer will sort out on your behalf from third parties. Conveyancing disbursements are payments and/or taxes that must be made as part of the home-buying process. The Stamp Duty Land Tax (SDLT) is paid to the government when you purchase any land or property valued over a certain amount in England.
You will be informed of our conveyancing fees up front, and you can even receive an instant quote via a specialised service on our website.
Examples of Disbursement Fees
Examples of disbursement fees include the following:
Money Laundering Checks:
Conveyancing involves moving a lot of money around, making it a potential target for money launderers. As such, you are legally required to provide documents verifying your identity and the origin of your funds.
Bankruptcy Search:
The bankruptcy search is conducted to know whether the person who has applied for the mortgage or the purchaser, is bankrupt or on the verge of bankruptcy. It is done exclusively for the lender. Once a buyer is found to be bankrupt for a given period, the lender may decline to provide the loan. A bankruptcy search is conducted by the buyer’s solicitor to prove that the buyer is free from bankruptcy.
Copy of Title Deeds:
Checking the title deeds that prove property ownership incurs fees charged by the Land Registry for every downloaded document.
Searches:
It is mandatory to carry out certain searches on your property, such as local search, water/drainage search and environmental search, particularly if you are having a mortgage. At Bell Lamb & Joynson we always recommend searches are conducted whether you are obtaining mortgage funding or not.
Transfer Fee:
A fee is charged for the electronic transfer of funds which your conveyancer arranges on the completion date.
Land Registry:
When purchasing a house, you will need to pay a Land Registry fee to officially transfer the property into your name.
Stamp Duty:
Stamp Duty is paid as a lump sum on the completion date when purchasing a property. Your conveyancing solicitor will calculate and include it in their quote.
Leasehold Fees:
With a leasehold property, additional costs must be covered. The process can be complex, so it is essential to check the terms and conditions with your conveyancer.
How Much Are Conveyancing Fees?
To provide you with a clearer idea of conveyancing fees in a typical case, the costs can range from approximately £990 to £1500. However, it is important to note that this amount does not include the stamp duty fees.
As previously mentioned, the amount you pay to your conveyancing solicitor will largely depend on the value of the property you intend to purchase. The costs of legal fees will vary depending on factors such as:
- The property price.
- Whether the property is freehold or leasehold.
- Whether you are purchasing with shared ownership, right to buy or help to buy.
- Whether additional searches are required for the property.
Come to Bell Lamb & Joynson
If you are worried about the price of conveyancing fees or how to pay them, don't worry. Our friendly, helpful, and knowledgeable team of conveyancing solicitors are always here to help and advise you. We can explain the costs to you to help put your mind at ease.
We also have a secure online payment system in place, so you can transfer your conveyancing fees safely and without any risk. This is perfect in today's climate, with conveyancing fraud on the rise. At Bell Lamb & Joynson, we are covered by an official Government-backed scheme that protects us and you from various cyber-attacks.
Our experienced team of conveyancing solicitors will assist you with all aspects of conveyancing. We have clients spanning across England and Wales, and we specialise in all aspects of residential property transactions.
Whether you are looking to buy or sell property, do a property transfer, or remortgage your home, we can help you.
Contact us today for more information or to find out more about our fees and what you can expect to pay based on your circumstances.