Stages of the process

The precise stages involved in the purchase of a residential property vary according to the circumstances. However, below we list some key stages:

• Take your instructions and give you initial advice
• Checking that all parties are instructed
• Receive and advise on contract documents
• Carry out searches (these can take 3 weeks or so to come back in full)
• Obtain further planning documentation, if required, from the other side
• Make any necessary enquiries of the seller solicitor
• Give you advice on all documents and information received and taking your instructions
• Go through conditions of your mortgage offer, if applicable
• Send final contract papers to you for signature
• Agree exchange and completion date (date on which you own the property)
• Exchange contracts and notify you that this has happened
• Collate completion statement to show financial position of the transaction and obtain balance of funds on account
• Arrange for all money to be received from lender
• Complete purchase
• Deal with the payment of Stamp Duty Land Tax and SDLT Return
• Deal with application of registration at Land Registry

We are approved to work with a wide range of lenders and are CQS accredited, which is the Conveyancing Quality Scheme run by the Law Society.

In April 2016 the Stamp Duty Land Tax (SDLT) scheme rues changed.  This means that anyone who is buying additional property (i.e. in addition to their main residence) must pay a higher rate of tax.  Click here for the Stamp Duty Calculator

The scheme rules are still fairly new and incredibly complex so please be on notice of this additional fee (3% above the previous threshold) if you own property, including houses abroad and shares of property held jointly with other people.

How long will my house purchase take?

How long it will take from your offer being accepted until you can move in to your house will depend on a number of factors. The average process takes between 8-12 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 8-10 weeks. However, if you are buying a leasehold property that requires an extension of the lease, this can take significantly longer, between 3 and 6 months. Additionally, please note that, in such situation additional charges would apply.

Costs

Registered Freehold Purchase:

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 for a Registered, Freehold Purchase

• Legal fee – typically £750 – £1,150 + VAT

Our fees are based on the purchase price of the property and whether it is a new build, whether you are using a lender and/or whether you are utilising a  Help to Buy Scheme (we increase our fees by a small additional sum [IRO £150-£600 + VAT each] for transactions involving these additional items as they involve a significant amount of additional work)

• Search fees – typically in the region of £320 (inclusive of VAT)
• HM Land Registry fee – £150 for a £250,000 property. These fees are based on purchase price and no VAT is payable on this fee. HMLR fee calculator
• Electronic money transfer fee £35 + VAT (per transfer)
• Collation and submission of SDLT Form £65+VAT
• Land Registry Search Fees – in the region of £10 incl VAT
• Property Report Fee – £10 incl VAT

Estimated total: £1,919

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.

Stamp Duty or Land Tax (applicable on purchase only)

This depends on the purchase price of your property and your circumstances. 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.

Estimated total on a freehold purchase of £350,000 where:

• The purchasers are married;
• No one owns any other property;
• Neither is a first time buyer; and
• The house will be the main residence of the purchasers

Estimated total £7,500

Please note: SDLT amendments are a regular feature of yearly Budgets and as such the specific rules change often. We will provide you a figure based on the rules in force at the time. However, we are NOT tax experts.

When you’re buying or selling a property we understand that costs can mount up quickly. We appreciate you want a good price for the service you’re given with all the extras included. We try and provide a quote which is “all in”. You’ll be given the overall cost and how it breaks down.

However, sometimes there will be further work to attend to which couldn’t have been foreseen. If this happens we will let you know straight away.

Registered Leasehold Purchase:

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 for a Registered, Leasehold Purchase

• Legal fee – typically £1,000 – £2,500 + VAT

Our fees are based on the purchase price of the property and whether it is a new build, whether you are using a lender and/or whether you are utilising a Help to Buy Scheme (we increase our fees by a small additional sum [IRO £150-£600 + VAT each] for transactions involving these additional items as they involve a significant amount of additional work)

• Search fees – typically in the region of £320 (inclusive of VAT)
• HM Land Registry fee – £150 for a £250,000 property. These fees are based on purchase price and no VAT is payable on this fee.
• Electronic money transfer fee £35 + VAT (per transfer)
• Collation and submission of SDLT Form £65+VAT
• Property Report Fee – £10 incl VAT
• Land Registry Search Fees – in the region of £10 incl VAT
• Notice fees post completion – These depend on the development you are buying into but are typically in the region of £350. VAT may or may not be added to this fee depending on whether they are VAT registered.

 Estimated total: £2,694

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.

Stamp Duty or Land Tax (applicable on purchase only)

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.

Estimated total on a leasehold purchase of £350,000 where:

• The purchasers are married;
• No one owns any other property;
• Neither is a first time buyer;
• The house will be the main residence of the purchasers; and
• The ground rent is £250 per annum

Estimated total £7,500

Please note: SDLT amendments are a regular feature of yearly Budgets and as such the specific rules change often. We will provide you a figure based on the rules in force at the time. However, we are NOT tax experts.

Examples of unforeseen work which will incur additional costs:

• If legal title is defective or part of the property is unregistered
• Missing title deeds
• If planning permissions or building regulations are not available

Examples of services not included within the price:

• Tax advice (excluding SDLT)
• Financial advice
• Survey advice
• Insurance advice
• Dealing with post completion retentions

Useful Resources:

Legal Choices

HMRC Stamp Duty Land Tax Calculator

HMLR Calculator

Cate Cussell

Partner and Head of Property Department

 

Matters related to buying a property –

Depending on your circumstances you may need advice for various reasons, click the below links for more information:

• Selling a property
• Remortgage
• Transfer of Equity
• First Registration
• Adverse Possession
• Leases
• Commercial Property
• Agricultural Property
• Landlord and Tenant