Leasehold Purchase – Our Fees

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 you wish to buy is in Wales.

Conveyancer’s fees and disbursements

The fees we charge and the other fees and charges you will pay are listed below:
• Legal fee
• Search fees
• HM Land Registry fees
• Electronic money transfer fee
• VAT payable
Disbursements are costs related to your matter that are payable to third parties, such as Land Registry fees. We handle the payment of the disbursements 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. The disbursements which we anticipate will apply are 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 from the seller’s solicitors. See the tables below for the fees and disbursements.

How long will my purchase take?

How long it will take from your offer being accepted until you can move in to your property will depend on a number of factors. The average process takes between 6-12 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 new build property with a mortgage in principle, it could take 6-8 weeks. However, if you are buying a leasehold property that requires an extension of the lease, this can take significantly longer, between 2 and 4 months. 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, we list some of the key stages below:
• Take your instructions and give you initial advice
• Check finances are in place to fund purchase and contact lender’s solicitors if needed
• Receive and advise on contract documents
• Carry out searches
• Obtain further planning documentation if required
• Make any necessary enquiries of seller’s solicitor
• Give you advice on all documents and information received
• Go through conditions of mortgage offer with you
• Send final contract to you for signature
• Agree completion date (date from which you own the property)
• Exchange contracts and notify you that this has happened
• Arrange for all monies needed to be received from lender and you
• Complete purchase
• Deal with payment of Stamp Duty/Land Tax
• Deal with application for registration at Land Registry

Our Fees

Our minimum fees depend upon a number of factors such as the value of the property you are purchasing, the complexity and the urgency of the transaction.  If the matter is straightforward without complications our fees will be a minimum of £1050 plus VAT to a maximum of £4200 plus VAT for the purchase of a registered leasehold property without a mortgage.

If your transaction is more complex than a simple purchase then there will be additional fees payable because of the additional amount of work.  Some factors which may typically increase the cost of the service are:

    • if legal title is defective or part of the property is unregistered
    • if you discover building regulations or planning permission has not been obtained
    • if crucial documents you have previously requested from the client have not been provided

To give you some idea of the potential additional fees we have a minimum charge list for different scenarios which we will provide you with at the start of the transaction.

Together with our fees you are required to pay disbursements, the cost of those disbursements is provided below:

Anticipated Disbursements*

• Notice of Transfer fee – This fee if chargeable is set out in the lease. Often the fee is between £75-£200 plus VAT
Notice of Charge fee (if the property is to be mortgaged) – This fee is set out in the lease. Often the fee is between £75-£200 Plus VAT.
• Deed of Covenant fee – This fee is provided by the management company for the property and can be difficult to estimate. Often it is between £100 and £300 plus VAT.
• Certificate of Compliance fee – To be confirmed upon receipt of the lease, as can range between £50-£200 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 the anticipated service charge as soon as this we receive this information.

Search fees

These differ according to which searches you want and which local authority the property is in. The standard searches are Local Search, Water and Drainage Search, Environmental Search and Chancel Search/Insurance).
The average cost is around: £250.00 (inc. VAT)

HM Land Registry fee

The land registry registration fee depends upon a number of variables, such as whether the property is registered or unregistered, whether you are buying the whole or part of a registered property, whether the application can be made online or in the post. Each of those variables however is governed by the price paid or the value of the property. The land registry fees guide is available by using Land Registry registration fees.

Stamp Duty or Land Tax (on purchase)

This depends on the purchase price of your property. 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 here..

Electronic money transfer fee

The bank fee for sending money on the day of completion to the seller’s solicitors and for any other large same day transaction is £35.00 plus VAT.

Land Registry Searches

These are searches we undertake on your behalf to check the legal title. The searches we generally undertake are:

Official Search of Whole/Part – OS1/2 £3.00
K15 searches for unregistered titles (fee per name in the title) £2.00
K16 Bankruptcy Search (fee per name) £2.00

Example

A purchase of a registered leasehold property for £250,000.00, with a mortgage, in the Torbay area, with a standard SDLT charge, without any additional fees or disbursements is as follows:

Description

Value

Our Professional Fees

£1200.00

VAT on Our Fees

£240.00

Title Search Fee

£3.00

Bankruptcy Search

£2.00

Search Fees

£230.55

Telegraphic Transfer Fee

£35.00

VAT on the Above

£7.00

Stamp Duty

£0.00

Land Registry Fee

£135.00

Total

£1852.55