Engrossment fee

Smuggler86

Hi,
My mortgage has just completed on a new build property. The house is a self build scheme set up by the local council. Everything has gone fine and to plan, except that after completion, I was told there is a £165 engrossment fee to pay to my solicitor as they have paid it on my behalf to complete the mortgage.

Now I understand the seller's solicitor charging this engrossment fee but it was never communicated to me that I would have to pay it, in fact I never even knew what it was until I read the "Completion statement" detailing all of the fees and house price etc. I initially had one of these months before completion which had a break down of service charges, solicitors fees and everything, but the last one I have received sneakily had this engrossment fee added on, after I had already paid the deposit and all fees I was previously informed of.

Where do I stand on this in regards to the solicitor? Can I/shall I tell them I won't be paying them due to it not being disclosed to me at any time before actual completion?

G_M

our solicitor is not charging you for this. Your mortgage lender is. The fee is certainly mentioned somewhere in the T&Cs of the mortgage.

However, your solicitor has very kindly paid the fee on your behalf in order to ensure the mortgage money was released without any hold-up.

Now he is passing on the fee he paid on your behalf, and you should get out your chequebook (metaphorically) and pay him back.

Smuggler86

I don't believe it's the mortgage lender, but the council's (seller) solicitor? Or maybe i'm wrong.

kingstreet

Purchaser's solicitor can't quote an engrossment fee at the outset if he doesn't know one is going to be charged.

It is usual for the purchaser to pay this fee in respect of the first registration of a newbuild property and it should have been explained to you by the builder/vendor at the time of making your reservation.

Your ire is misdirected, IMHO.

ethank

It is normally in the sale contract when you buy one.

G_M

Smuggler86 wrote: »

I don't believe it's the mortgage lender, but the council's (seller) solicitor? Or maybe i'm wrong.

In that case:

Your solicitor is not charging you for this. Your seller (the council) is. The fee is certainly mentioned somewhere in the T&Cs of the sale.

However, your solicitor has very kindly paid the fee on your behalf in order to ensure the sale could proceed without any hold-up.

Now he is passing on the fee he paid on your behalf, and you should get out your chequebook (metaphorically) and pay him back.

Better?