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Purchase of a Leasehold Residential Property
Our team has over fifty years of collective experience in delivering high quality work in all matters relating to residential conveyancing. There are few areas of residential conveyancing that the team has not dealt with before and you can be assured that the team will make the purchase of your property as easy and stress free as it can be.
We have four members of the team who may work on your matter. Regardless of who works on your matter, they will be supervised by Paul Dodds, Partner and Head of Conveyancing. Paul Dodds is assisted by Michael Boyce, Solicitor, Rob Mason, Chartered Fellow of the Institute of Legal Executives (FCILEx), and Kate Mitchell, Legal Assistant.
Paul Dodds – Partner
Senior Partner Paul Dodds qualified as a solicitor in 1979 and opened his own firm, this firm, in 1983. He has over 40 years’ experience in property law and conveyancing.
Michael Boyce – Solicitor
Michael qualified as a solicitor in Northern Ireland in 2012 before moving to the UK. He has specialised in property law and conveyancing since qualifying.
Rob Mason – FCILEx
Rob has been a Fellow of the Institute of Legal Executives (a non-solicitor lawyer) since 1982 and is now a Chartered Legal Executive. He has over 30 years experience in property law and conveyancing.
Kate Mitchell – Legal Assistant
Kate has worked for the firm for a number of years, exclusively in conveyancing, and assists Paul, Michael and Rob with day to day matters.
Each of our fee-earners undertaken regular training on conveyancing to ensure that they remain up to date with the law.
Our fees* cover all the work required to complete the purchase of your new home, including dealing with registration at the Land Registry and dealing with the payment of Stamp Duty Land Tax (Stamp Duty) if the property is in England, or Land Transaction Tax (Land Tax) if the property is in Wales.
The precise stages involved in the purchase of a residential leasehold property vary according to the circumstances. However, some key stages include:
- Taking your instructions and giving you initial advice
- Check finances are in place to fund purchase and contact lender’s solicitors if needed
- Receive and advise on contract documents
- Carry out searches
- Obtain further planning documentation if required
- Make any necessary enquiries of seller’s solicitor
- Give you advice on all documents and information received
- Go through conditions of mortgage offer
- Send final contract to you for signature
- Draft Transfer
- Advise you on joint ownership
- Obtain pre-completion searches
- 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 payment of Stamp Duty/Land Tax
- Deal with application for registration at Land Registry
How long will my house 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 6-8 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 4 weeks. However, if you are buying a leasehold property that requires an extension of the lease, this can take significantly longer, between 2 and 3 months. In such, a situation additional charges would apply.
Residential conveyancing work is generally undertaken on the basis of fixed fees. The following information is provided to assist you in understanding how our fees are calculated. The prices provided are indicative of the likely cost in a transaction or case and should not be taken as an absolute quote. You must still contact us to obtain a detailed quote which takes into account the individual circumstances of your transaction or case.
- Legal fees £438.00
- Leasehold property fees £200.00**
- Electronic money transfer fee £30.00***
- VAT payable £133.60
- Subtotal £801.60
Our fee assumes that:
- this is a standard transaction and that no unforeseen matters arise including for example (but not limited to) a defect in title which requires remedying prior to completion or the preparation of additional documents ancillary to the main transaction
- this is the assignment of an existing lease and is not the grant of a new lease
- the transaction is concluded in a timely manner and no unforeseen complication arise
- all parties to the transaction are co-operative and there is no unreasonable delay from third parties providing documentation
- no indemnity policies are required. Additional disbursements may apply if indemnity policies are required.
Disbursements are costs related to your matter that are payable to third parties, such as search 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 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.
- HM Land Registry fee: £3.00
- Search fees: £201.50****
- VAT on search fees: £40.30
- Money Laundering Search (per person): £6.00
- Land Registry fee: £95.00
- Subtotal: £345.80
Grand total £1,147.40
*These fees vary from property to property and can on occasion be significantly more than the figure given above. This is our average fee during the three months to 30 September 2018. We can give you an accurate figure once we have sight of your specific documents.
**This fee is payable if the property you are purchasing is leasehold (rather than freehold) and reflects the additional work that is involved.
***We make a charge of £30.00 plus VAT for each telegraphic (electronic) transfer that we undertake. On a purchase there is likely to be one such transfer to pay the purchase monies to the seller’s solicitor.
****This is the cost of a standard search bundle required in every case. There are other searches that you may wish to undertake, such as a flooding risk search, and there will be an additional charge for these.
You may choose to receive any monies due to you by cheque or telegraphic transfer. There is no charge for receiving proceeds or other monies by cheque. If you choose to receive monies by telegraphic transfer then we will charge an additional fee of £30.00 plus VAT.
Possible Additional Disbursements in respect of Leasehold Properties
- Notice of Transfer fee – This fee if chargeable is set out in the lease. Often the fee is between £100.00 and £200.00.
- Notice of Charge fee (if the property is to be mortgaged) – This fee is set out in the lease. Often the fee is between £100.00 and £200.00.
- 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 £200.00.
- 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 charges are likely to apply throughout your ownership of the property. We will confirm the ground rent and the anticipated service charges as soon as this we receive this information
Stamp Duty Land Tax
Stamp duty may additionally be payable. This depends on the purchase price of your property and whether you own any other properties. You can calculate the amount you will need to pay by using HMRC’s website or if the property is located in Wales by using the Welsh Revenue Authority’s website.
A stamp duty land tax (SDLT) form is required in all cases. You may be able to choose to complete this yourself. If there is a lender then we will have to complete it for you. If you ask us to complete the form or we have to complete it then we will charge an additional fee for £75.00 plus VAT.