#fees conveyancing

Conveyance fee is one of the most important factors that determine whether one wants to seek professional help in property ownership transfer or follow the legal steps themselves only. It can be done on the own but hiring a conveyance lawyer is better because it is a lengthy process with several steps involved in it. This is applicable to both the parties, that is for buyers as well as for sellers.  Both the parties require a conveyance lawyer and therefore have to take into account the conveyancing fee structure. Though every jurisdiction has separate set of property laws, the basic legal process remains the same founded on English common law.

Fees for conveyancing are attached for the following activities:

Official copy of property title along with the map

Public documentation of the contract and stamp duty

Transfer tax fees

Local property searches

The local property search is an integral part of the conveyance process and fee is charged against this service apart from the other core legal process fees. This fee unlike the others is not stagnant. It varies and often is determined by the locality of the property. The fees include a typical local authority search, water and drainage search, clearing pending applications affecting the conveyance of the property and planning decisions for the future.

The VAT or the value added tax is levied on any transaction taking place anywhere in the world and conveyance is also not an exception. All the conveyance lawyers in any part of the world calculate the implications of VAT on a property transaction. VAT has its impact on property sale or ownership transfer in the following ways:

Legal and other professional fees are subject to standard VAT

Sale of a green field site in exempted from VAT

Lease of a new house is subject to zero rated taxes

Civil engineering and construction activities are subject to zero rated tax

The VAT charges are generally mentioned on the contract when the legal process is documented. It is generally included the price list unless otherwise mentioned.

Be aware of the mortgage situation of the property if you are a buyer. The conveyance lawyer will charge separately to redeem the mortgage. In such a circumstance it is always wise to hire a different conveyancer than the one recommended by your real estate agent. Otherwise you might have to end up paying double.

In London some of the major reputed law firms are following the fixed-fee rule for conveyance. A reputed firm has mentioned that it will settle the deed at a fixed charge of €750 including VAT and irrespective of the property price.