Purchasing a Leasehold Property
Our fees cover all of the work required to complete the purchase of your new home, including dealing with the 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.
Our fees and disbursements:
Our fees will depend on the value of the property you are purchasing and will range from £1,500.00 to £2,750.00 plus VAT*
- Search fees – £500.00 plus VAT (approximately).
- Land Registry search fees – £20.00 (approximately).
- Land Registry registration fee – This mandatory cost is set by the Land Registry and depends on the value of the property you are purchasing. The fee will range from £20.00 to £910.00.
- Electronic money transfer fee – £25.00 plus VAT per payment.
- Money laundering searches – £6.50 plus VAT per person or £10.00 plus VAT per company.
- Lawyer check – £10.00 plus VAT per check.
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 terms of the lease. We will update you on the specific fees upon receipt and review of the lease from the seller’s solicitors.
Anticipated Additional Disbursements*:
- Notice of Transfer fee
- Notice of Charge fee (if the property is to be mortgaged)
- Deed of Covenant fee
- Certificate of Compliance fee
*These fees vary from property to property. We can give you accurate figures 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 or Land Tax
This depends on the purchase price of your property, whether you are a first time buyer and whether or not you or a spouse own any additional property anywhere in the world. 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.
How long will my flat purchase take?
How long it will take from your offer being accepted until you can move in to your flat will depend on a number of factors, including whether you are part of a chain. We will be in contact with you providing regular updates on the process of your property purchase.
Stages of the process
The precise stages involved in the purchase of a residential leasehold property vary according to the circumstances however the key stages are as follows:
- Take your instructions and give you initial advice
- Check finances are in place to fund purchase and contact Lender’s solicitors if needed
- Receive and advise you on the 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 you the final contract to you for signature
- Draft the Transfer
- Advise you on joint ownership
- Obtain all necessary pre-completion searches
- Agree a 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 the purchase
- Deal with the payment of Stamp Duty/Land Tax
- Deal with the application for registration at the Land Registry
- Deal with the covenants in the Lease in relation to your purchase
Once we know the value of your property, we would be happy to provide you with a bespoke quote, talk you through the process and answer any questions that you might have. Most of this can be done over the telephone and by email, however, if you would like to meet your solicitor, a face-to-face appointment can be arranged at our office.
In order to satisfy mandatory money laundering checks, you will need to attend our office so we can certify your documents.
*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
The maximum fee shown is for a purchase price of a leasehold property of up to £1,000,000.00. Please contact us for a quote if the purchase price exceeds £1,000,000.00.