Hughes Solicitors
19 High Street
Heathfield
TN21 8LU

8:45am to 5pm
Monday to Friday
(evenings and weekend
by prior appointment)

Hughes Solicitors
19 High Street
Heathfield
TN21 8LU

8:45am to 5pm
Monday to Friday
(evenings and weekend
by prior appointment)

Understanding our residential property costs

Last updated: 1st January 2021

Our fee structure for residential property matters is based on the time in our experience it takes to deal with the matter. The exact cost of an individual matter will depend on the individual aspects of that particular property.

We believe in giving a personal service to our clients. Your matter will be dealt with by one of our experienced lawyers.

The charge out rates of our lawyers are set out in our terms and conditions.

During a transaction we have to pay various amounts on your behalf to third parties including search fees, Land Registry fees and Stamp Duty Land Tax (SDLT). The cost of many of these disbursements vary depending on the price of the property. The examples below indicate costs and disbursements for a range of transactions.

Our fees cover all of 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 you wish to buy is in Wales.

Typical stages of a transaction are:

  • Instruction of lawyer, completion of forms and dealing with compliance matters e.g. anti-money laundering requirements.
  • For a sale, preparation of sale contract and documents to accompany the contract for submission to the buyer’s lawyer.
  • For a purchase, on receipt of the contract papers, request searches and raise initial enquiries based on the papers and, when received, the searches. The buyer should consider whether they wish to instruct a survey and if necessary seek further advice from their lawyer.
  • For a sale, when enquiries are received, consider these and take instructions on those that are not of a legal or technical nature and then submit replies to the buyer’s lawyer.
  • For a purchase, consider the replies to enquiries when received and raise further enquiries if necessary.
  • If the property is leasehold the seller’s lawyer will request further replies and information from the Freeholder or management company and the buyer’s lawyer should consider such information when received from the seller’s lawyer. Further enquiries should be raised if necessary.
  • If mortgage finance is required, a buyer’s lawyer should check the mortgage offer when received and comply with any conditions set out therein.
  • When all enquiries and conditions have been satisfied the buyer’s lawyer should approve the draft contract and each lawyer should report to their respective client with the agreed contract for signing.
  • Once both parties are happy to commit to the transaction and, if there is one, the chain is ready to proceed also, the parties should agree a completion date and proceed to exchange contracts.
  • Once contracts have been exchanged each lawyer prepares for completion e.g. requesting mortgage monies for a purchase and mortgage redemption statements for a sale.
  • Once the transaction has completed the buyer’s lawyer will deal with payment of SDLT or LTT and registration at Land Registry

NB: This is a summary of the stages of a typical transaction and is not exhaustive. Each transaction is different and so there may be other stages involved and which  are sometimes unknown when a transaction commences.

Calculating Stamp Duty or Land Tax (on purchase)

This depends on the purchase price of your property. 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. Please note, however, that specialist advice from an accountant or tax specialist may be required in certain circumstances.

Calculating legal fees

* 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
  • if leasehold it 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 complications 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.
  • that it is not a new build property
  • that the title is already registered at the Land Registry
  • that you are not taking out a mortgage
  • the property is not a listed building
  • there is no solar panel lease affecting the property
  • no retention is needed on completion
  • no deposit is being gifted in a purchase with a mortgage
  • There is no less than 14 days between exchange and completion
  • in purchase cases, whether it is to be your primary residence and not buy to let or second/holiday home
  • that there are not multiple owners other than a married couple
  • it is not a shared ownership scheme
  • that you are not using a help to buy scheme
  • you are not purchasing at auction
  • the property has not been repossessed

NB: This list is not intended to be exhaustive

Every transaction is different and for this reason we would invite you to ring us to discuss your specific transaction so that we can give you a detailed estimate specific to your circumstances.

 

We set out the following examples which were correct at 1st January 2021:

Please note that external fees such as search fees may vary depending upon the property location.

PURCHASE ESTIMATE A

Leasehold

Purchase Price £250,000.00

Cost
Our Legal Fees £ 1,250.00
VAT on our Legal Fees (payable at the applicable rate – currently 20%) £ 250.00
Stamp Duty Land Tax – assuming standard rate is payable £ 2,500.00
Search Fees (approximately) £ 350.00
CHAPS Transfer Fees (to send cleared funds to the Sellers’ Solicitors on completion) £ 48.00
Land Registry Fees £ 135.00
TOTAL £4,533.00

PURCHASE ESTIMATE B

Freehold

Purchase Price £450,000.00

Cost
Our Legal Fees £ 1,250.00
VAT on our Legal Fees (payable at the applicable rate – currently 20%) £ 250.00
Stamp Duty Land Tax – assuming standard rate £ 12,500.00
Search Fees (approximately) £ 350.00
CHAPS Transfer Fees (to send cleared funds to the Sellers’ Solicitors on completion) £ 48.00
Land Registry Fees £ 135.00
TOTAL £14,533.00

SALE ESTIMATE A

Leasehold

Sale Price £200,000.00

Cost
Our Legal Fees £ 950.00
VAT on our Legal Fees (payable at the applicable rate – currently 20%) £ 190.00
CHAPS Transfer Fees (to repay your mortgage) £ 48.00

Land Registry Fees (official copies etc)

Management pack required from the landlords/managing agents (estimated £300)

£ 30.00

£ 300.00

TOTAL £1,518.00

 

SALE ESTIMATE B

Freehold

Sale Price £325,000.00

Cost
Our Legal Fees £ 950.00
VAT on our Legal Fees (payable at the applicable rate – currently 20%) £ 190.00
CHAPS Transfer Fees (to repay your mortgage) £ 48.00
Land Registry Fees (official copies etc) £ 30.00
TOTAL £1,218.00

 

REMORTGAGE ESTIMATE

Freehold

Mortgage amount £300,000.00

Cost
Our Legal Fees £ 500.00
VAT on our Legal Fees (payable at the applicable rate – currently 20%) £ 100.00
CHAPS Transfer Fees (to repay your mortgage) £ 48.00
Land Registry Fees (registration, official copies etc, up to) £ 70.00
TOTAL £718.00