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Conveyancing Fees
NorthernExile_2
Posts: 3 Newbie
Long time reader, first time poster, please be gentle.
I've taken onboard loads of useful stuff from reading the forum over the last few months whilst I've been saving my deposit and now I'm nearly there I'm starting to get nervous and thinking of more and more questions. Anyway, your expert advice would be appreciated on:
a) Is this a reasonable price for conveyancing on a new-build (I've seen all the advice about not going for new-build but it suits my needs perfectly) leasehold flat in London.
Legal Fees (inc VAT) - £780
Land Transaction Return - £60
Money Laundering Fee - £12
Land Registry Fees - £200
Mortgage Fee - £114
Searches - £300 approx
b) What can I expect for my money?
- Will they keep the developer in check and tell them 28 days turnaround to complete is unrealistic?
- Will they negotiate over how much of the reservation fee is returned if I don't complete?
- Will they speak to the management company to sort ground rent, service charges, find out how much money is in the reserve fund and details of planned work over the next x years?
- Is there anything else I need them to do?
Do I have to specifically have to instruct them to do all this for me?
Thanks
I've taken onboard loads of useful stuff from reading the forum over the last few months whilst I've been saving my deposit and now I'm nearly there I'm starting to get nervous and thinking of more and more questions. Anyway, your expert advice would be appreciated on:
a) Is this a reasonable price for conveyancing on a new-build (I've seen all the advice about not going for new-build but it suits my needs perfectly) leasehold flat in London.
Legal Fees (inc VAT) - £780
Land Transaction Return - £60
Money Laundering Fee - £12
Land Registry Fees - £200
Mortgage Fee - £114
Searches - £300 approx
b) What can I expect for my money?
- Will they keep the developer in check and tell them 28 days turnaround to complete is unrealistic?
- Will they negotiate over how much of the reservation fee is returned if I don't complete?
- Will they speak to the management company to sort ground rent, service charges, find out how much money is in the reserve fund and details of planned work over the next x years?
- Is there anything else I need them to do?
Do I have to specifically have to instruct them to do all this for me?
Thanks
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NorthernExile wrote: »Long time reader, first time poster, please be gentle.
I've taken onboard loads of useful stuff from reading the forum over the last few months whilst I've been saving my deposit and now I'm nearly there I'm starting to get nervous and thinking of more and more questions. Anyway, your expert advice would be appreciated on:
a) Is this a reasonable price for conveyancing on a new-build (I've seen all the advice about not going for new-build but it suits my needs perfectly) leasehold flat in London wouldn't a London conveyancer be more expesnive than an out of London one, so save that money to start with .
Legal Fees (inc VAT) - £780 - depends on the price you are paying for the property, but a new build means more work than a usual purchase, and a flat adds to it too
Land Transaction Return - £60 that is pure profit and so not a 3rd party expense, the law firm are misleading to start with so I would ditch them
Money Laundering Fee - £12 don't be draft that is their fee for not taking passports / driving liceneces through the post
Land Registry Fees - £200 sounds like a purchase price under £200k so the £780 is high
Mortgage Fee - £114 terrible, again that is pure profit and so not a 3rd party expense, the law firm are misleading to start with so I would ditch them, as their fee is £250 huigher than my firm and I consider we do the finest job of any conveyancer and I am an actual solicitor
Searches - £300 approx
b) What can I expect for my money?
- Will they keep the developer in check and tell them 28 days turnaround to complete is unrealistic? no, you negotiate that at the start
- Will they negotiate over how much of the reservation fee is returned if I don't complete? no, you come to a lawyer top buy a house on terms you have agreed
- Will they speak to the management company to sort ground rent, service charges, find out how much money is in the reserve fund and details of planned work over the next x years? they get that info from the seller
- Is there anything else I need them to do? yes:
Get a Lexcel accredited solicitor firm http://www.lawsociety.org.uk/product...es/lexcel.page by searching here against your Town http://www.lawsociety.org.uk/choosin...asolicitor.law and make sure:
1. the one solicitor/legal executive does conveyancing as their only work and will be the same person from start to finish
2. the team around them is enough so that person is not overworked
3. they do not close at 5pm or at lunch
4. they give you their personal email and direct dial phone number
5. they do not call themselves a case handler or something similar
6. they state they 'have no hidden charges'
7. that the name of their firm does not somehow indicate how great they are
Do I have to specifically have to instruct them to do all this for me?
Thanks
Good luck OPMy posts are just my opinions and are not offered as legal advice - though I consider them darn fine opinions none the less.:cool2:
My bad spelling...well I rush type these opinions on my own time, so sorry, but they are free.:o0 -
NorthernExile wrote: »a) Is this a reasonable price for conveyancing on a new-build (I've seen all the advice about not going for new-build but it suits my needs perfectly) leasehold flat in London.
Legal Fees (inc VAT) - £780 a bit pricey
Land Transaction Return - £60 why extra? should be included
Money Laundering Fee - £12
Land Registry Fees - £200
Mortgage Fee - £114 Given the pricey Legal Fees this should be included
Searches - £300 approx
b) What can I expect for my money?
- Will they keep the developer in check and tell them 28 days turnaround to complete is unrealistic? They work for you so will do what you tell them
- Will they negotiate over how much of the reservation fee is returned if I don't complete? if you ask them to though usually you need to negotiate this as well as price yourself
- Will they speak to the management company to sort ground rent, service charges, find out how much money is in the reserve fund and details of planned work over the next x years? Speak, no, write yes - though on a new build I doubt there's a reserve fund!
- Is there anything else I need them to do?
Do I have to specifically have to instruct them to do all this for me? Discuss everything in full with them. They work for you, so if you don't understand something - ask! if you don't know what they/you need to do - ask!
Thanks
Check the T&Cs of the conveyancing carefully for extras. You list is very short, so other items may be included under 'Legal fees' or may be extra. If in doubt - ask!
And read this to understand potential extras.0 -
Fees a little high - if VAT is included with all the extras (SDLT form and mortgage fees) it works out at about £795 + VAT for a transaction where the price is no more than £200K (from LR Fee).
The maintenance charge figures are always an inspired guess at this stage because the managing agents can only provide figures based on previous experience with other blocks, which may be quite different from this one - so expect some variations for the first few yaers until it all settles down.
Also expect the builder to sell the freehold to a rip off property company in a few years time. You will then have the hassle of paying ground rent to the company, insurance to their separate subsidiary, and maintenance charge to some managing agent. When you sell the flat you will have to pay up to 3 sets of admin fees to obtain information from each of them. (Always remember to send SAE with payments asking for receipts so you don't have to pay some ridiculous sum to obtain a receipt!)
When the builder wants to sell the freehold he has to serve a s5 notice on you and all the other lessees offering the freehold to you collectively for something around 15 times the aggregate of the ground rents for t he block but you will usually find that apathy rules and you cannot get a majority of lessees interested in buying.RICHARD WEBSTER
As a retired conveyancing solicitor I believe the information given in the post to be useful assuming any properties concerned are in England/Wales but I accept no liability for it.0 -
Thanks for the replies0
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