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Legal Costs

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Legal Costs
There are many legal costs that you will have to pay. This guide will help make sure that you can compare quotes you get from conveyancing companies and that they have included all the costs in their quote. Please scroll down the page to find the explanations for Fees, Searches, Stamp Duty, Money Transfer, Office Copy Entries, Leasehold.

Fees
These are the fees charged by the solicitor/covenyancer for carrying out your legal work. This is one of the crucial things to check when comparing quotes between companies as they can vary dramatically. Ideally make sure you get a 'no sale and fixed fee' deal so you know exactly how much your legal fees will be.

Searches
These are required when buying so that the legal company can advise you of any changes that are likely to happen that might affect you, or any problems in the area that might prove to be an issue. For example, the next door neighbours building a third storey on their property, or changing its use, or even a new road being built at the bottom of you potential new garden! They also give an idea of the surroundings of the property. For example, whether you are subject to flooding or if the property is built over coal mine tunnels.

Stamp Duty
This is a tax that you have to pay on completion via the Land Tax Form. Your legal company will fill this in for you, but it is likely to cost an additional £50. The stamp duty you pay depends on how much you are buying for:-

£0-£120,000                 taxed at 0% *       
£120,001-£250,000       taxed at 1% *
£250,001-£500,000       taxed at 3%         
£501,000+                    taxed at 4%

*Until the 2nd September 2009 stamp duty is 0% on all purchases up to and including £175,000

Money Transfer
When money is transferred from your legal company's account to the vendor's legal company's accounts you have to pay a fee as it is sent through a special service which guarantees its arrival. Some legal companies 'forget' to quote for this, so check if they haven't put it on their quote.

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