Possibly silly question about monies on completion.

bclark

This may be a bit obvious but for our forthcoming purchase/sale we are planning on using some of our equity to pay stamp duty and do some work. We have obviously arranged our mortgage with this in mind but was just wondering about the practicalities on completion day, does our solicitor merely keep back the surplus money and give it to us?

Putting figures to the question:

Selling house for £250k with 50% equity.

New house price £350k.

Borrowed an additional £120k on new mortgage so there will be an additional £20k.

Flugelhorn

yep - solicitor sends you a cheque or bank transfer for whatever is left at the end after the stamp duty and their fees and estate agent fees (if you want them to pay them out of it) etc are paid

G_M

Flugelhorn wrote: »

yep - solicitor sends you a cheque or bank transfer for whatever is left at the end after the stamp duty and their fees and estate agent fees (if you want them to pay them out of it) etc are paid

Or alternatively solicitor disappears to Carribean for well-earned vacation.... with your £20K.

Jeffrey_Shaw

Flugelhorn wrote: »

yep - solicitor sends you a cheque or bank transfer for whatever is left at the end after the stamp duty and their fees and estate agent fees (if you want them to pay them out of it) etc are paid

Yes, although:
a. "Stamp Duty" has for over a decade been Stamp Duty Land Tax, so far as concerns land and property (rather than shares); and
b. the client should receive a fully-itemised Statement of Account, with the paid Bills for legal fees on sale and purchase, showing all money received and paid.