Solicitor asking for full balance

bigtel_2

Hi,

I'm buying a house and my solicitor has sent me the correspondence with the other parties etc.

They have also stated:

Whilst writing to you we have also prepared our accounts showing the balance now due from you which are enclosed for you approval.

Subject to your approval we will need you to arrange a bankers transfer for the balance due and our details are...

On the completion statement they have a breakdown of costs

Costs
House price + fees

Less
Search fees already paid

Mortgage advance to be rec'd Nationwide Building Society - Mortgage Amount

Balance now due
Amount which comes to full deposit + fees

Is this normal, I thought you only paid a small percentage first to the solicitors and not the full deposit which they are asking for?


Thanks

nick12

Ours want £300 when (if!!!) we get a mortgage offer to do the searches and the rest on completion which I think is the norm.

onlyroz

I thought you paid the deposit on exchange and the full balance on completion.

Soot2006

We transferred the full deposit. It was definitely listed on the completion statement. After all they can't complete without it, so as the money was ready to go we sent it at the same time as the sol's fees. I'm thinking it was after signing contracts and the day /or a couple day before they were exchanged so sol knew everything was ready to rumble.

Kirstyb1987

I only paid £175 before exchange/completion. Oh paid for what they had done at the time and when they finish I'll pay the rest!

m_13

If you are in a chain and the deposit you are receiving for your property exceeds the deposit to be paid for the property you are buying, you normally aren't asked for any extra deposit. However, if there's a shortfall or you aren't in a chain, you have to have it available as cleared funds to pay the deposit.

bigtel_2

Thanks for the replies.

Seems to be different for some people too.

I'm a first time buyer so no chain behind me. I suppose it makes sense to know I have the money before going ahead.

Thrugelmir

Solicitor won't be prepared to exchange contracts unless the funds are in place for completion.

G_M

Your post is not clear. What stage of the process have you reached?

If you have just instructed them, it is usua to pay a small advance (several hundred £?) to cover search fees etc.

If you are approaching Exchange, you will need to pay the (usually) 10% deposit on Exchange (your mortgage will not be received by the solicitors till later ie a day or so before Completion).

If you are nearing Completion, you will need to pay any outstanding amount towards the total costs, less whatever the mortgage lender is contributing and whatever you've already paid.

G_M

Thrugelmir wrote: »

Solicitor won't be prepared to exchange contracts unless the funds are in place for completion.

Yes but 'in place' does not = 'in the solicitor's hands' unless Completion is following rapidly after Exchange

Thrugelmir

G_M wrote: »

Yes but 'in place' does not = 'in the solicitor's hands' unless Completion is following rapidly after Exchange

I've never dealt with a solicitor that would proceed without the certainty of funding being in place.