Property – Process and Costs

Property – Process and Costs

These prices are a guide, as of August 2021 when the page was last updated. For an individual cost estimate, please call 01628 533444 or email info@black-law.co.uk


Sale of a freehold residential property

Our fees cover all of the work* required to complete the purchase of your new home, including if applicable the redemption of any mortgages and charges.

Our legal fees and range of costs

Our costs are dependent upon the type of property which you wish to sell, and every sale is unique. There are many types of sales from the simple to the complex transaction- whether it is a simple sale or a complex sale we can assist. Depending upon the transaction our prices range from circa £900 for a simple transaction to circa £3500  for a more complex transaction. We therefore ask that you call the office where we can discuss your requirements whereon we will provide a written costs estimate which will detail our costs and any applicable disbursements.  This breakdown will clearly set out our fees which if you are happy to accept will result in formal terms of business being sent out to you. All our fees are subject to VAT at 20%

Disbursements

Disbursements are costs related to your matter that are payable to third parties. We handle the payment of the disbursements on your behalf to ensure a smoother process.

  • Land Registry – title and plan £6
  • ID check £10 +VAT per person

How long will my house sale take?

How long it will take from your acceptance of an offer until you can move out will depend on a number of factors. The average process takes between 8-10 weeks.

It can be quicker or slower, depending on the parties in the chain. For example, if you are dealing with a first time buyer who has a mortgage in principle, it could take 3-4 weeks. However, if there is a long chain, then timings tend to rely on the slowest member of the chain will dictate timings.

Stages of the Process

  • Take instructions – completion of fittings and contents form and property information form(s)
  • Obtaining title and any other documents required by HM Land Registry
  • Confirm details of any mortgage(s) and charges.
  • Prepares the draft contract and supporting contract documentation
  • Pre-contract enquiries  answered
  • Completion date agreed
  • Obtain a settlement figure for any mortgages/charges
  • Contracts formally exchanged
  • Receiving  Transfer Deed
  • On completion Seller vacates property – keys handed to buyer
  • Balance proceeds sent to Seller

Our fee assumes 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
  • this is the assignment of an existing lease and is not the grant of a new lease
  • the transaction is concluded in a timely manner and no unforeseen complication arise
  • all parties to the transaction are co-operative and there is no unreasonable delay from third parties providing documentation
  • no indemnity policies are required. Additional disbursements may apply if indemnity policies are required.

Sale of a leasehold residential property

Our fees cover all of the work* required to complete the sale of your new home, including if applicable the redemption of any mortgages and charges.

Our legal fees and range of costs

Our costs are dependent upon the type of property which you wish to sell and every sale is unique. There are many types of sales from the simple to the complex transaction- whether it is a simple sale or a complex sale we can assist. Depending upon the transaction our prices range from circa £1,100 for a simple transaction to circa £3500  for a more complex transaction. We therefore ask that you call the office where we can discuss your requirements whereon we will provide a written costs estimate which will detail our costs and any applicable disbursements.  This breakdown will clearly set out our fees which if you are happy to accept will result in formal terms of business being sent out to you. All our fees are subject to VAT at 20%.

Disbursements

Disbursements are costs related to your matter that are payable to third parties. We handle the payment of the disbursements on your behalf to ensure a smoother process.

 Land Registry – title and plan £6

ID check £10 +VAT per person

Replies to Management Companies/ Landlord- these fees are set by the Management Company or Landlord- normally circa £250 +VAT.

How long will my house sale take?

How long it will take from your acceptance of an offer until you can move out 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 dealing with a first time buyer who has a mortgage in principle, it could take 6-8  weeks. However, if there is a long chain, then timings tend to rely on the slowest member of the chain will dictate timings.

Stages of the Process

  • Take instructions – completion of fittings and contents form and property information form(s)
  • Obtaining title and details of the lease any other documents required by HM Land Registry
  • Confirm details of any mortgage(s) and charges
  • Prepare draft contract and supporting contract documentation
  • Write to landlord/ agents, sending LPE1 form along with any applicable fee, in order to obtain the send leasehold pack
  • Leasehold pack obtained and forwarded
  • Pre-contract enquiries  answered
  • Completion date agreed
  • Obtain a settlement figure for any mortgages/charges
  • Calculate apportionment figures.
  • Contracts formally exchanged
  • Receiving  Transfer Deed
  • On completion Seller vacates property – keys handed to buyer
  • Balance proceeds sent to Seller

Our fee assumes 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 indemnity policies are required. Additional disbursements may apply if indemnity policies are required.

Purchase of a freehold residential property

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 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.

Our  legal fees and range of costs

Our costs are dependent upon the type of property which you wish to purchase, and every purchase is unique. There are many types of purchases from the simple to the complex transaction – whether it is a simple purchase or unregistered property or a new-build, we can assist.  Depending upon the transaction, our prices range from circa £1,000 for a simple transaction to circa £3,500 for a more complex transaction. We therefore ask that you call the office where we can discuss your requirements, whereon we will provide a written costs estimate that will detail our costs and any applicable disbursements.  This breakdown will clearly set out our fees, which if you are happy to accept, will result in formal terms of business being sent out to you. All our fees are subject to VAT at 20%.

Disbursements

Disbursements are costs related to your matter that are payable to third parties, such as Land Registry fees and search fees. We will handle the payment of disbursements on your behalf to ensure a smoother process.

  • Search fees circa £250-£350 +VAT – the costs are dependent upon the required searches
  • HM Land Registry fee – dependent upon the purchase price.
  • ID check £10 +VAT per person

Stamp Duty or 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. We can discuss the basis of the calculations with you once we know the details of you and your transaction, such as whether you own another property or are first time buyers.

How long will my purchase take?

How long it will take from your offer being accepted until you can move into your house will depend on a number of factors. The average process takes between 4-8 weeks.

It can be quicker or slower, depending on the parties in the chain. For example, if you are a first time buyer purchasing property with a mortgage in principle, it could take 3-4 weeks. However, if you are buying a property in a chain that has variable factors arising from 3rd parties  or complications, then this can be significantly longer, between 2 -3 months. In such, a situation additional charges may apply.

Stages of the process

The precise stages involved in the purchase of a residential property vary according to the circumstances. However, below we have suggested some key stages that you may wish to include:

  • 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

Purchase of a leasehold residential property

Our fees cover all the work* required to complete the purchase of your new home, including dealing with registration at the Land Registry and the payment of Stamp Duty Land Tax (Stamp Duty) if the property is in England, or Land Transaction Tax (Land Tax) if the property is in Wales.

Our legal fees and range of costs

Our costs are dependent upon the type of property which you wish to purchase and every purchase is unique- whether it is a new build leasehold flat or a leasehold retirement flat we can assist. Depending upon the transaction our prices range from circa £1,250 for a simple transaction to circa £3,500 for a more complex transaction. We therefore ask that you call the office where we can discuss your requirements whereon we will provide a written costs estimate which will detail our costs and any applicable disbursements.  This breakdown will clearly set out our fees which if you are happy to accept will result in formal terms of business being sent out to you. All our fees are subject to VAT at 20%.

Disbursements

Disbursements are costs related to your matter that are payable to third parties, such as search 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.

  • Search fees £250- £350 + VAT – the costs are dependent upon the required searches
  • HM Land Registry fee – dependent upon the purchase price.
  • ID check £10 + VAT per person

Anticipated Disbursements*

The Landlord/ Management Companies require that certain matters are dealt with after you have completed your purchase such as fees for the Notice of Transfer, Deed of Covenant, and Certificate of Compliance. These fees if chargeable are either set out in the lease or upon receipt of the lease whereupon we can advise you of these amounts.

*These fees vary from property to property. 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 charges 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.

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. We can discuss the basis of the calculations with you once we know the details relating to you and your transaction such as whether you own another property, or you are a first time buyer. Please note that the payment of SDLT is a personal liability so we advise you to check the HMRC online calculator to ascertain whether the sum stated is correct.

 Stages of the Process

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

  • 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 & check terms of lease and management company/landlord’s paperwork
  • Make any necessary enquiries of seller’s solicitor
  • Give you advice on all documents and information received
  • Go through conditions of mortgage offer
  • Send final contract to you for signature
  • Draft Transfer
  • Advise you on joint ownership
  • Obtain pre-completion searches
  • 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

How long will my house purchase take?

How long it will take from your offer being accepted until you can move into your house 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 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 and could be 2-4 months plus, and these are dealt with on a case by case basis.

In such, a situation additional charges would apply.

* Our fee assumes that:

  1. 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
  2. this is the assignment of an existing lease and is not the grant of a new lease
  3. the transaction is concluded in a timely manner and no unforeseen complication arise
  4. all parties to the transaction are co-operative and there is no unreasonable delay from third parties providing documentation
  5. no indemnity policies are required. Additional disbursements may apply if indemnity policies are required.

Re-mortgaging your property

Our fees cover all the work* required to complete the re-mortgage of your property, including dealing directly with the mortgage provider and registering the charge with the Land Registry.  

Our legal fees and range of costs

Our costs are dependent upon the type of mortgage required and the requirements of the lender. We are on most lender panels. Our prices are usually between £475 and £1,000 +VAT. We ask that you call the office where we can discuss the requirements of your chosen lender whereupon we will provide a written costs estimate which will detail our costs and any applicable disbursements.  This breakdown will clearly set out our fees which if you are happy to accept will result in formal terms of business being sent out to you. All our fees are subject to VAT at 20%.

Disbursements

Disbursements are costs related to your matter that are payable to third parties. We handle the payment of the disbursements on your behalf to ensure a smoother process.

Searches- between £250 and £300 + VAT – these are dependent upon whether the lender requires full searches or whether search indemnity insurance is acceptable which is normally circa £25-50 + VAT. We can discuss the costs with you once we know the requirements of the lender.

  • Land Registry – title and plan £6
  • ID check £10 + VAT per person
  • Land Registry- dependent upon the purchase price
  • SDLT- payable in some circumstances

How long will the process take? 

The average process from the receipt of your mortgage offer is between 4-8 weeks.

Stages of the Process

  • Take instructions
  • Obtain Office copy Entry from the Land registry
  • Mortgage redemption statement obtained
  • Receipt of mortgage offer check the terms and any conditions
  • Searches undertaken or search insurance obtained
  • Mortgage report issued  detailing the key points of your mortgage
  • Ascertain building insurance details
  • Mortgage Deed sent out for signature
  • Agree a completion date
  • Complete a certificate of Title to the Lender (COT)
  • Completion
  • Put the indemnity policy in place-  if required
  • Register the Mortgage with Land Registry 

Our fee assumes 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
  • this is the assignment of an existing lease and is not the grant of a new lease
  • the transaction is concluded in a timely manner and no unforeseen complication arise
  • all parties to the transaction are co-operative and there is no unreasonable delay from third parties providing documentation
  • no indemnity policies are required. Additional disbursements may apply if indemnity policies are required.