Pulling out of purchase questions.

user1977

Troy_af said:

user1977 said:

If you're selling and purchasing simultaneously (and need equity from your sale to do so) then it's going to add to hassle on the completion day (as funds will need to be transferred between your solicitors). As well as requiring you to contact two separate firms to coordinate anything else happening in the chain.

Thanks for the info. I understand that it would be somewhat of a hassle, but surely its something solicitors are used to dealing with? I trying to weigh up if the added hassle would be worth it for the process to be sped up (I reckon I'm probably looking at at least 4 weeks quicker with the new solicitor I'm considering).

Yes, they'll cope with it, but it's adding to the risk of e.g. your sale completing but not your purchase, if you're doing them both on the same day. Generally people only do this if they have to e.g. there's a conflict of interest, or their selling solicitor isn't on their new lender's panel, or they're buying in a different jurisdiction.

As for timescales, yes it will speed things up, but only if it's your solicitor which would have been the slowest link in the chain!

simon_or

newsgroupmonkey_ said:

newsgroupmonkey_ said:

simon_or said:

That's interesting because that wasnt my experience at all. My transactions were comparable to yours (more expensive on the purchase) but my legal fees was only about £50 or so more than yours. And overall cheaper as the disbursements seem like they were lower than yours.

I'll see if I can find the original quote from the Estate Agents.......

ANTICIPATED SELLING FEES (VAT Rated Items):
Our Conveyancing Fee	£949.00
Mortgage Lender Legal Fee	£200.00
Contract Preparation Fee	£50.00
Bank Transfer Admin Fee (Per Payment)	£40.00
Client Identity Verification Fee (£18.00 per person)	£36.00
ANTICIPATED LEGAL FEES:	£1,275.00
EXPENSES (VAT Rated Items):
TM Secure Online Interactive Portal Fee (£18.00 per transaction) if selected	£15.00
Land Registry Title Information	£9.00
TM Property Search Case Fee	£5.00
Total VAT at 20%	£260.80
ESTIMATED CONVEYANCING FEES & EXPENSES	£1,564.80
ANTICIPATED PURCHASE FEES (VAT Rated Items):
Our Conveyancing Fee	£949.00
Mortgage Lender Legal Fee	£200.00
Stamp Duty Land Tax Return Preparation Fee	£100.00
Bank Transfer Admin Fee (Per Payment)	£40.00
ANTICIPATED LEGAL FEES:	£1,289.00
EXPENSES (VAT Rated Items):
Searches Before Exchange	£291.67
TM Secure Online Interactive Portal Fee (£18.00 per transaction) if selected	£15.00
TM Property Search Case Fee	£5.00
Bankruptcy Search - Before Completion (£2.00 per person)	£4.00
Bankruptcy Search - Before Exchange (£2.00 per person)	£4.00
Priority Search Fee	£3.00
Payments collected for others (VAT charged by them):
Land Registry Fees	£150.00
Total VAT at 20%	£322.33
ESTIMATED CONVEYANCING FEES & EXPENSES	£2,084.00
GRAND TOTAL	£3,648.80

But hey, they had a no completion, no fee.

Thanks for sharing. But like I said, not my experience. My sols were no comp no fee and overall cheaper than yours. So in my case, a no brainer but fully understand that it didn't make sense in your case.

simon_or

eddddy said:

simon_or said:

As for the sunk effort, that's just par for the course for the industry they're in, just like all the unpaid work done by the estate agent, mortgage broker, bank, etc when a transaction falls through before completion.

I think that's looking at things a little over simplistically.

You hire an estate agent to find a viable buyer, and progress the sale to exchange of contracts.

• If the estate agent succeeds in their role - you pay them their fee
• If the estate agent fails in their role - you don't pay them their fee
  

There are times when a sale falls through, and there was absolutely nothing the estate agent could have done to stop it. So the estate agent takes on some risk. But that's typical for a sales role.

(The sale of a used car might fall through because the buyer can't get a loan, or because the AA inspection finds problems. None of this is the salesperson's fault - but they still don't get their commission.)

But if a sale falls through, it's not usually because a solicitor has failed to perform their role. (If it genuinely was because your solicitor failed in some way, you might complain, and argue that you shouldn't pay their fee.)

Similarly, if a mortgage adviser says they can find you a mortgage lender who would accept your credit history, etc - but then they can't, they've failed, and I don't think they should be due a fee either.

I see the point you're trying to make and accept that that's your opinion, but I don't agree with it. I think it a bit naive to feel that any business "deserves" to be paid because they put in some work.

A mortgage broker can lose the work they've done (or have to redo it gratis) due to no fault of their own when the transaction falls through (or gets delayed) post mortgage offer.

Same for the lender (who's spent money on processing and free valuation, free legals in some cases, etc) when a transaction falls through or the borrower goes to another lender post mortgage offer.

Do they 'deserve' to be paid for their time or wasted effort? Perhaps, but that's not how the market works.

newsgroupmonkey_

simon_or said:

newsgroupmonkey_ said:

newsgroupmonkey_ said:

simon_or said:

That's interesting because that wasnt my experience at all. My transactions were comparable to yours (more expensive on the purchase) but my legal fees was only about £50 or so more than yours. And overall cheaper as the disbursements seem like they were lower than yours.

I'll see if I can find the original quote from the Estate Agents.......

ANTICIPATED SELLING FEES (VAT Rated Items):
Our Conveyancing Fee	£949.00
Mortgage Lender Legal Fee	£200.00
Contract Preparation Fee	£50.00
Bank Transfer Admin Fee (Per Payment)	£40.00
Client Identity Verification Fee (£18.00 per person)	£36.00
ANTICIPATED LEGAL FEES:	£1,275.00
EXPENSES (VAT Rated Items):
TM Secure Online Interactive Portal Fee (£18.00 per transaction) if selected	£15.00
Land Registry Title Information	£9.00
TM Property Search Case Fee	£5.00
Total VAT at 20%	£260.80
ESTIMATED CONVEYANCING FEES & EXPENSES	£1,564.80
ANTICIPATED PURCHASE FEES (VAT Rated Items):
Our Conveyancing Fee	£949.00
Mortgage Lender Legal Fee	£200.00
Stamp Duty Land Tax Return Preparation Fee	£100.00
Bank Transfer Admin Fee (Per Payment)	£40.00
ANTICIPATED LEGAL FEES:	£1,289.00
EXPENSES (VAT Rated Items):
Searches Before Exchange	£291.67
TM Secure Online Interactive Portal Fee (£18.00 per transaction) if selected	£15.00
TM Property Search Case Fee	£5.00
Bankruptcy Search - Before Completion (£2.00 per person)	£4.00
Bankruptcy Search - Before Exchange (£2.00 per person)	£4.00
Priority Search Fee	£3.00
Payments collected for others (VAT charged by them):
Land Registry Fees	£150.00
Total VAT at 20%	£322.33
ESTIMATED CONVEYANCING FEES & EXPENSES	£2,084.00
GRAND TOTAL	£3,648.80

But hey, they had a no completion, no fee.

Thanks for sharing. But like I said, not my experience. My sols were no comp no fee and overall cheaper than yours. So in my case, a no brainer but fully understand that it didn't make sense in your case.

I wish I'd known and I'd have used yours tbf.

Every single quote I got with a no-sale disclaimer was considerably more expensive. I've got them somewhere.