First you need to instruct a conveyancer to act on your behalf. A conveyancer is a lawyer who carries out the work for you when you are buying your home. You will need to obtain a quotation for the conveyancing work they carry out for you. We have a free online calculator if you want to have a look?
What are Conveyancing fees?
The quote will break down the conveyancing fees (payable to your conveyancer) and disbursements (fees payable to a third party on your behalf). Disbursements include search fees, Land Registry fees and stamp duty. At present first-time buyers are exempt from paying stamp duty, if the purchase price of the property is below £300,000, or £400,000 in London.
Each conveyancer sets their own conveyancing fees, but all fees must be transparent and clear at the outset. Your fees will also differ depending on whether the property is freehold or leasehold (usually a flat\apartment). The quote person will ask you several questions, e.g. are you having a mortgage, do you have a Help to Buy ISA, or are you are having a gift towards your purchase e.g. from a parent so that they can quote you correctly.
I've accepted a Conveyancing quote, what happens next?
Once you have accepted your quote you will need to give your conveyancers details to the estate agent so that they can draw up a memo of sale confirming the deal agreed. This will confirm the full property address, the purchase price, any additional sums payable in respect of fixtures and fittings and details of the conveyancer acting for each party. The same conveyancer cannot act for the buyer and the seller as conveyancing often involves some form of negotiation between the parties and due to the inequality of bargaining power and sometimes vulnerability, it can lead to conflict.
What happens next?
Your conveyancer will send to you a client care pack. This often consists of a Client Care Letter or Terms and Conditions of Business and some supporting questionnaires e.g. a source of funds statement or questionnaire confirming where your deposit funds are held and where they have come from. If you are buying in joint names, you will also be sent a joint ownership tenure form, as although the legal title will be in joint names, the beneficial interest can be held differently. This is important if you are making unequal contributions to the purchase price. By having the form at an early stage, it allows you to consider how you wish to hold the property and whether you need to consider a declaration of trust.
What else does the Conveyancer do?
Your conveyancer must carry out due diligence checks as part of money laundering regulations, so you will need to provide proof of your identity and current address. Therefore, once the forms are completed and signed, you will need to attend the solicitor’s office in person with proof of your identification (driving licence, passport), proof of address (bank statement, utility bill) and bank statements showing evidence of your funds. You will also need to make a payment on account in respect of your searches.
I have a monetary gift from my family towards my deposit
If you are having a gift from a family member e.g. your mum or dad, they will need to do a gift letter confirming the gift is not repayable and that they will not have any interest in the property. They will also need to attend our office with their identification, proof of address and evidence confirming the source of funds.
If you need any more information please contact us on 0800 011 6666 or for a free online Conveyancing fee quotation, please click here.
