GROWER FREEMAN FEES GUIDE FOR RESIDENTIAL PURCHASE
This guide is not intended for business clients.
We set out below a guide to the fees and expenses you can expect to incur in a typical residential transaction involving a sale, purchase, mortgage and re-mortgage. At Grower Freeman we recognise that every client has individual needs and each transaction will be different and our fees will be tailored to the transaction in question and discussed with you during our initial consultation. Should any issues arise resulting in an increase in our fees you will be informed accordingly. Please contact us to discuss the specifics of your transaction and your requirements and in order to receive an accurate estimate.
The typical fee assumes no unforeseen matters or complications and that all parties to the transaction co-operate and that there are no defects in title. It also assumes that where there is a loan to purchase the property that we will be acting for the lender and that the lender will not be separately represented.
Please refer to our website for qualifications and experience of the fee earner dealing with your transaction.
RESIDENTIAL CONVEYANCING PURCHASE COSTS (Up to £1,000,000)
|Our Legal Fees (Average)||£1,950 + VAT||£2,400 + VAT|
|Additional Legal Fee if lender is separately represented||£350 + VAT||£350 + VAT|
|Additional Legal Fee if Licence to Assign is required||N/A||Up to £450 + VAT|
|Additional Legal Fee if also acting for the lender||£450 + VAT||N/A|
|Our fees for Lawyer Checker (if applicable)||£10 + VAT||£10 + VAT|
|Our admin fee for money transfer||£50 + VAT||£50 + VAT|
|£300-£450 + VAT (approx.)||£300-£450 + VAT (approx.)|
|Land Registry Fee (electronic submission)*|
See: https://www.gov.uk/guidance/hm-land-registry-registration-services-fees for more information
|Land Registry pre-completion search*||£3||£3|
|£2 per borrower||£2 per borrower|
* These expenses are payable to a third party. They vary from property to property and may be significantly more than estimated above. Once we are in full receipt of your documents a more accurate estimate can be provided.
Upon instruction we require £500 on account for searches.
Stamp Duty Land Tax
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. Please be aware that the buyer’s individual circumstances may affect the duty payable.
Additional disbursements anticipated on leasehold purchase
The disbursements which we anticipate may apply are set out separately below. This list is not exhaustive and other disbursements may apply depending on the terms of the lease. These fees vary from property to property and can on occasion be significantly more than the ranges given below. We will update you on the specific fees upon receipt and review of the lease from the seller’s solicitors.
- Notice of Transfer fee – this fee, if chargeable is set out in the lease. Often the fee is between £30 - £100 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 £50 - £100 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 £75 - £250 plus VAT
- Certificate of Compliance fee – to be confirmed upon receipt of the lease, and can range between £50 - £250 plus VAT
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 we receive this information
How long will the transaction take?
The average time to exchange of contracts from submission of draft contract and related paperwork is approximately 4/6 weeks. The average period for completion of the transaction after exchange of contracts is between 2/4 weeks. However, these times can be varied to suit the requirements of the parties to the transaction and these times may also vary if complication should arise (such as a defect in title) or if there are matters beyond our control. Where the transaction is part of a chain of transactions the timings will be dependent on the timings of other transactions. Where the consent of the Landlord is required under the terms of any Lease this could affect the timings of the transaction. We will keep you informed of any matters arising which could delay the transaction.
The precise speed of the transaction will also depend upon a number of other factors as follows:
- Your speed in providing us with suitable and sufficient ID and proof of address documents, sufficient proof of source of wealth and funds.
- Existence of buyer’s mortgage offer and instructions to act from buyer’s lender.
- Whether sale / purchase dependent on simultaneous purchase / sale of any other property.
- Availability of full pre-contract package from seller with all relevant title documents and planning documents.
- Both parties’ speed in providing replies / instructions to their conveyancers.
- Speed of obtaining search results from local authorities.
- Existence of title defects.
- Existence of physical defects / breaches of planning permission/listed building or building control.
- Where applicable, the speed of managing agent in providing full management pack and responding to any queries / requests for consent to the sale.
- Where applicable, the speed of obtaining any consent of the Landlord.
Stages of the process
- Take your instructions, complete identity, money laundering and source of funds checks.
- Receive and advise on contract documents.
- Carry out searches.
- Receive a copy of your surveyor's report on the physical aspects of the property and liaise further as necessary.
- 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.
- Advise you on joint ownership.
- Draft Transfer.
- Arrange for all monies needed to be received from lender and you.
- Deal with payment of Stamp Duty/Land Tax.
- Serve any post completion notices (eg notice of assignment / charge).
- Deal with application for registration at Land Registry.
Matters that could affect the fees
- Unusual timings.
- Tax advice.
- Preparation of a lock out / exclusivity agreement.
- Listed buildings requiring planning review and advice.
- Refurbished properties that may require planning and construction review and advice.
- Company involvement (additional searches a Companies House / company resolutions).
- Government Help to Buy Scheme requirements.
- Lender separately represented by other solicitors.
- Value of the property.
- Non-standard requirements relating to any consent required by any Landlord.
However, we can provide assistance in relation to any or all of these matters if so required. Please contact us and we can provide further information about our fees.
To find the fee earners who can help you, please visit our Commercial & Residential Property page.