Our fees cover all of the work required to complete the purchase of your new home, including dealing with notices to the Landlord, registration at the Land Registry and dealing with the payment of Land Transaction Tax (Land Tax) if the property you wish to buy is in Wales, or Stamp Duty Land Tax (Stamp Duty) if the property is in England.
Disbursements are costs related to your matter that are payable to third parties, such as searches and Land Registry fees. We handle the payment of the disbursements on your behalf to ensure a smoother process. There are certain disbursements which will be set out in the individual lease relating to the Property. The disbursements which we anticipate will apply in addition to those provided for on our quote calculator are set out separately below. This list is not exhaustive and other disbursements may apply depending on the term of the lease. We will update you on the specific fees upon receipt and review of the lease from the seller's solicitors.
· Notice of Transfer fee – This fee if chargeable is set out in the lease. Often the fee is between £50.00 to £250.00.
· Notice of Charge fee (if the property is to be mortgaged) – This fee is set out in the lease. Often the fee is between £50.00 to £250.00.
· Deed of Covenant fee – This fee is provided by the management company for the property and can be difficult to estimate. Often it is between £100.00 and £300.00.
· Certificate of Compliance fee - To be confirmed upon receipt of the lease, as can range between £100.00 and £200.00.
*These fees vary from property to property and can on occasion be significantly more than the ranges given above. We can give you an accurate figure once we have sight of your specific documents.
You should also be aware that ground rent and service charge are likely to apply throughout your ownership of the property. We will confirm the ground rent and the anticipated service charge as soon as this we receive this information.
Land Tax or Stamp Duty may be payable. This depends on the purchase price of your property. You can calculate the amount you will need to pay by using the Welsh Revenue Authority's website https://lttcalculator.wra.gov.wales/ChargeableTransactionType if the Property is located in Wales or the HMRC's website https://beta.gov.wales/land-transaction-tax-calculator or if the property is located in England
How long will the purchase take?
How long it will take from your offer being accepted until you can move in to your house will depend on a number of factors. The average process takes between 8 - 12 weeks. It can be quicker or slower, depending on the parties in the chain. For example, if you are a first time buyer, purchasing a new build property with a mortgage in principle, it could take 8-12 weeks. However, if you are buying a leasehold property that requires an extension of the lease, this can take significantly longer, between 3 and 6 months. In such, a situation additional charges would apply and these would be discussed with you.
Stages of the process
The precise stages involved in the purchase of a residential property vary according to the circumstances. However, below are some key stages to the transaction:
- Take your instructions and give you initial advice
- Receive, review and advise on contract documents, the Lease and the Management Pack
- Raise enquiries on the contract documents with the seller’s solicitors
- Carry out searches
- Obtain further documentation as revealed on the searches and contract documentation if required
- Draft the Transfer deed
- Report to you and give advice on all documents and information received
- Receive your mortgage offer and discuss the conditions of the offer with you
- Send final contract to you for signature
- Agree completion date (date from which you own the property)
- Exchange contracts and notify you that this has happened
- Arrange for all monies needed to be received from lender and you
- Complete purchase
- Deal with notices with the Landlord and Deed of Covenant with the Management Company
- Deal with payment of Stamp Duty/Land Tax
- Deal with application for registration at Land Registry