What are the Average Conveyancing Fees for 2021?
When you buy or sell a property, an important component of the costs involved is the conveyancing fees. Conveyancing is a great area of concern because it can give rise to a lot of disputes and hence you need a really knowledgeable solicitor or convenyancer to handle your conveyancing.
What is Conveyancing and Who Should Pay Conveyancing Fees?
Conveyancing refers to the legal process that occurs in a property transaction from acceptance of the offer to completion of the sale. If you’re wondering what are the average conveyancing fees for 2021, understand that some of the costs apply to the seller, some to the buyer, but some can apply to both.
What Fees are Included in Conveyancing Costs?
In general, conveyancing fees are divided into two parts: first, the legal fees to be paid to the conveyancer or conveyancing solicitor for their work and second, the various disbursements needed to complete the process.
The legal fees differ mainly depending on the price of the property and the work of the solicitor. However, additional fees may also apply depending upon how complex the transaction is. For instance, if the property is a leasehold, the costs may be more.
The disbursements include various fees needed by outside agencies for essential services that are part of the conveyancing process. They can differ from transaction to transaction, but the most common for the buyer include:
- Local authority searches: These may include environmental and drainage searches. Buyers are usually advised also to request planning searches, which will disclose any planned developments that could encroach upon the property.
- Identity checks: These are to ensure that the deal is not a part of a money laundering scheme, and are particularly likely to be required if you’re a foreign national or live abroad.
- Stamp Duty Land Tax: This applies on purchases of £125,000 or more. It increases on a sliding scale depending on the price.
- If you’re getting any help with finance: If you’re taking help with finance, either from the Government Help to Buy scheme or as a private gift, it can involve additional fees.
- Bank transfer fees: This may be needed to ensure that the transfer of finances takes place quickly on the specified day.
For the Seller:
- You’ll perhaps have to request a copy of the title deeds from the Land Registry so as to complete the sale
- You’ll also have to pay the Land Registry for the transfer of ownership of the property.
You should remember that these are only the most basic disbursements required and other payments may be needed for a particular transaction. Your solicitor should discuss about them with you in advance.
This will give you a good idea of the costs you may incur while buying or selling a property, and you can be well prepared.