Our fees cover all the work* required to complete the sale of your home, including redeeming your mortgage if you have one.
LEGAL FEES AND DISBURSEMENTS
The amount of our fees will depend on the type of property you are selling and whether it is freehold or leasehold. Leasehold sales tend to be more complicated and therefore our fees will be higher. VAT at a rate of 20% (as at 3 May 2022) is payable on all our fees.
If your property is unregistered, more work will be required, therefore additional fees may apply, depending on the complexity of the title. If there is a mortgage to repay then we will charge an additional £100 plus VAT at a rate of 20% (as at 3 May 2022) in respect of the work required in obtaining a redemption figure, repaying the mortgage and arranging for the lender to complete and file the discharge documentation at the Land Registry on receipt of full payment.
These are costs related to your matter that are payable to third parties. VAT will be payable on these costs at a rate of 20% (as at 3 May 2022). We handle the payment of the disbursements on your behalf to ensure a smoother process.
Before we send funds to a UK individual, we undertake checks to verify their bank account details, the fee for which is £2.50 plus VAT at a rate of 20% (as at 3 May 2022). If we also need to check the bank account details provided by a firm of solicitors (so that we can receive the sale proceeds), the fee is £15.00 plus VAT at a rate of 20% (as at 3 May 2022).
If you are selling your freehold property the disbursements will be nominal, but will usually include Land Registry fees (to obtain up-to-date official copies of title) of £6.00 per title. Depending on the amounts involved, we may also have to charge bank fees of £18 plus VAT at a rate of 20% (as at 3 May 2022) to send the sale proceeds to you/your lender on completion.
If you are selling your leasehold property, in addition to Land Registry fees of £6.00 per title, you will also have to pay the managing agents’ fees for providing a management pack. This usually costs in the region of £400 – £700. You may also have to pay your landlord’s fees for giving consent to the sale. These vary greatly depending on the landlord and the terms of the lease and can be anything from £750 plus VAT at a rate of 20% (as at 3 May 2022) to £2,500 plus VAT at a rate of 20% (as at 3 May 2022), occasionally more.
Please note that this total does not include any estate agency fees or other fees you may agree to pay to someone to advertise your house for sale and find a buyer.
STAGES OF THE SALE PROCESS
The precise stages involved in the sale of a residential property vary according to the circumstances but the key stages that are included are as follows:
- Preparing the sale package of title information and other relevant paperwork
- Drafting and negotiating the sale contract and transfer deed with the buyer’s solicitors
- Replying to enquiries raised by the buyer’s solicitors
- For leasehold property, if applicable, liaising with the landlord’s solicitors to obtain landlord’s consent to the sale
- Exchanging contracts
- If you have a mortgage to repay, obtaining a redemption figure from your mortgage company and liaising with them regarding repaying the loan
- Completing the transaction, dealing with any post-completion formalities and sending the title documents to the buyer’s solicitors
- Taking your instructions and keeping you updated throughout the transaction
HOW LONG WILL MY HOUSE SALE TAKE?
How long it will take from you accepting a buyer’s offer until your house sale completes will depend on a number of factors. The average process takes between 8–12 weeks.
However, it can be quicker or slower, depending on the parties in the chain and whether the property is freehold or leasehold. If your buyer is a cash buyer and your property is a freehold property with no title issues, it can usually be done very quickly. However, if the property is leasehold and/or you are in a chain with several buyers and sellers and there are issues with the buyer’s survey, searches or mortgage arrangements, this could take significantly longer, at least 3 to 4 months. In such a situation, additional fees may apply.
* OUR FEES ASSUME THAT:
- 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;
- The transaction is concluded in a timely manner and no unforeseen complications arise;
- All parties to the transaction are co-operative and there is no unreasonable delay from third parties providing documentation;
- No title indemnity policies are required. Additional costs may apply if title indemnity policies are required;
- The title is registered at the Land Registry;
- Building regulations and planning permission have been obtained (where relevant);
- Crucial documents requested are provided in a timely manner and in a single bundle;
- If the property is leasehold, there are no provisions for a service charge retention.
Below is a link to the Legal Choices website which explains the house buying and selling process in more detail: https://www.legalchoices.org.uk/legal-choices/got-a-legal-issue/houses/im-buying-or-selling-a-house
Information correct as at 3 May 2022.