Pricing – Purchase of a Residential Leasehold Property
Below you will find various pieces of information about what you can expect to pay if you instruct us to act for you on the purchase of a residential leasehold property and what factors might affect the price that you then pay. Should you choose to instruct us, a tailored estimate of price will be provided based on your particular circumstances and the transaction. The figures below do not include any VAT which may be applicable and which will be charged at the prevailing rate at the time that your purchase completes. The prevailing rate of VAT is 20%.
|Leasehold Purchase Costs||Amount (excluding any VAT applicable)|
|Our Legal Fees||Range from £900 and £2,050* (plus VAT)|
|Bank Transfer Fee||£30 – £49 (plus VAT)|
|Electronic Identity Check (per name checked)||£10 – £17 (plus VAT)|
|Anticipated Expenses **|
|Lawyer Check Search||£10 (plus VAT)|
|Land Registry Search Costs (OS1)||£3 (plus VAT)|
|Bankruptcy Search Costs (per name searched)||£2 (plus VAT)|
|Purchase Price of the Property||Our Legal Fees(excludingVAT)|
|Up to£100,000||£900 – £1,200|
|£100,000 -£250,000||£1,050 – £1,250|
|£250,000 -£375,000||£1,200 – £1,450|
|£375,000 -£500,000||£1,350 – £1,500|
|£500,000 -£750,000||£1,550 – £1,700|
|£750,000 -£1million||£1,800 – £2,050|
* for properties with a value of £1million and above, fees will be provided upon request
** not list in these expenses or included in our legal fees is:
- Conveyancing Search Costs, the cost of which varies depending on the search and provider
- The HM Land Registry Registration Fee, which is based on the purchase price of the property
- Charges ordinarily payable to the freeholder/landlord of the property – for example, the costs of notifying the landlord of the change of ownership of the property and getting any consents required
The fees and disbursements on this page relate to fees and disbursements for direct instructions provided by clients to Blacks Solicitors LLP. We also carry out work (both dual and separate representation work) instructed by mortgage lenders or introduced by other organisations where we work to fee scales set by others, which are likely to result in clients being charged fees different to those set out above.
Stamp Duty Land Tax / Land Transaction Tax
In addition to the above costs, you may also have to pay Stamp Duty Land Tax on your purchase or if the property which you are buying is in Wales, Land Transaction Tax. You can work out what you will need to pay in respect of such tax using one of the following links: Tax Calculator (England) or Tax Calculator (Wales).
Your specific circumstances and those of the individual transaction may alter the amount of tax you that have to pay. Once we have all the necessary information from you, we will be able to make a calculation and let you know the likely amount owed in respect of stamp duty land tax. The amount will be based on the rates in force on the day of completion of your purchase (rates do change from time to time, particularly following the budget in October / November each year).
What is included in this price and what factors might affect what you have to pay?
The above range of figures are based of the purchase of an existing residential leasehold property by one or more individuals (as opposed to a company or business partnership) with a title which is already registered at HM Land Registry and with the help of a mortgage from a traditional high street mortgage lender. Most leasehold property purchases in England and Wales will fall within this category. The fees include the following work:
- Setting up your file
- Checking and processing your instructions including carrying out the identity and anti-money laundering checks that we are required by law to carry out
- Checking the title deeds and other standard documentation that we receive from the seller’s legal representative
- Ordering any necessary searches and checking the results
- Clearing up any discrepancies or ambiguities in the information we receive from the seller’s legal representative and obtaining any missing information
- Reporting our findings to you and preparing paperwork for you to sign
- Liaising with your mortgage lender and ensuring any conditions attached to the release of the mortgage money are satisfied
- Exchanging contracts
- Completing your purchase
- Dealing with the freeholder’s change of ownership requirements
- Submitting a Stamp Duty Land Tax / Land Transaction Tax return on your behalf
- Ensuring your purchase is registered with HM Land Registry
- Closing and storing your file in accordance with our data retention policy
- Keeping you and any relevant third parties updated throughout as appropriate
Additional work may need to be carried out on your purchase which we are not aware of at the outset but which leads to an increase in our legal fees and/or the third party expenses which you will need to pay. If any such additional costs arise we will tell you about them as soon as possible. Examples of situations that might lead to an increase in costs include:
- If you are purchasing in a company name
- You are purchasing a share in a property jointly owned by a housing association (shared ownership)
- The property is newly built
- The property hasn’t been registered at Land Registry
- You are taking a mortgage from a non -high street lender
- There are problems with the title deeds
- You are buying the property to let
- The term of the lease needs to be extended
- We need to prepare additional deeds as required by the landlord
- You are using the Government’s Help to Buy equity loan scheme
- You are using a Help to Buy ISA/Lifetime ISA bonus
- We have to pay a referral fee to the professional who referred you to us
How long will your leasehold property purchase take?
How long it will legally take to buy the property, so from your offer being accepted until you can move in to the property, depends on a number of factors. The average process in England and Wales ordinarily takes between 10 to 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 from around four to six weeks.
Key Stages in the Purchase of a Residential Leasehold Property
The exact stages involved in the purchase of a residential leasehold property vary according to the individual specific circumstances. However, the following are the key stages of a typical transaction:
- Accept your instructions and provide you with our initial advice
- Check finances are in place to fund your 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 legal representative
- Give you advice on the documents and information received
- Review the conditions of your mortgage offer
- Send final contract to you for signature
- Agree a completion date (the date from which you legally own the property)
- Exchange contracts and notify you
- Arrange for all monies needed to be received from your lender (and you)
- Complete the purchase
- Deal with payment of Stamp Duty/Land Tax
- Deal with the application for registration at Land Registry of your title to the property
We have a large team of conveyancers, including a number of solicitors, licensed conveyancers, legal executives and paralegals who have extensive experience in residential property, specialising in the buy to let sector. The team is Supervised by a Partner within the Residential Conveyancing team team who has over 25 years’ experience working with all aspects of conveyancing.
For further details on specific team members please click here.