Solicitor's fees - remortgage

seriouslyunsurprising

We've got a decision in principle from Nationwide for a remortgage under their "cashback" offer which means we can choose either £500 cashback or a "free" solicitor. 

I may be out of date but I'd assumed solicitors fees would be less than £500 for a straightforward remortgage? Emailed a local firm for a quote but not heard back since, coincidentally the solicitor 'recommended' by our broker is coming in at £500 flat rate which feels very convenient..


Or am I being cynical? Any recent experiences that could advise on likely cost would be appreciated thank you. 

housebuyer143

I had a quote from the same form I used to purchase the house, at £800!. They only changed me £500 for the entire purchase. I don't know what they all charge but I just used the free legals as much less as stressful.

gazb_2

We’re in the remortgage process. I’m using my own solicitor and they’re charging £495 plus VAT, plus other fees, searches etc

user1977

seriouslyunsurprising said:

I may be out of date but I'd assumed solicitors fees would be less than £500 for a straightforward remortgage? 

Including disbursements and VAT? Doubt it, unless they're doing a very streamlined job (the "free legals" firms tend to have service level agreements which enable them to cut some corners).

kingstreet

The "free legals" warehouse firms get low fees from lenders and you get a corresponding level of service. We always take cashback where possible and will obtain legal quotes, but are happy for the applicant to arrange their own representation.

ACG

Soooo...
Your not being cynical. But there are 2 trains of though on this.

If you go to a local firm, you are probably going to be paying more than £500. Brokers have access to some conveyancing companies that offer fixed price remortgages, Ours do £299, £350 and £500 - the difference in price is down to 2 things, at £500 you have a few more solicitors and also the kickback we receive increases (although not necessary by £200 in the highest to the lowest example). Also if the property is leasehold that can play a part. 

Thought 1 - The broker has tied it in nicely to help increase their income. (Cynical)
Thought 2 - You are no worse off as your alternative would be more expensive. You are probably getting a better firm than if you took free legals and you have the broker on hand to chase if they do start dragging their feet saving you time and effort. (Not cynical). 

Realistically, its probably a bit of both.

seriouslyunsurprising

Thanks for the comments everyone, I'm glad I posted!!