Scenario – Purchase of a freehold new build residential property for joint owners (first-time buyers) costing £299,000.00
Estimated total costs for this scenario broken down as follows: £2,098.40
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.
*Stamp Duty or Land Tax – Rather than ending on 31 March 2021, the temporary nil rate band of £500,000 will be in place until 30 June 2021. Then from 1 July 2021 to 30 September 2021 the nil rate band will be £250,000. The nil rate band will return to the standard amount of £125,000 on 1 October 2021. This is based on the presumption that the purchasers are not first-time buyers and do not own any other properties.
Conveyancer’s fees and disbursements (all prices include vat where applicable at 20%)
- Ashtons Legal fee – £960
- Search fees – £350
- Ashtons Legal fees for Help to Buy ISA (if applicable – per ISA) – £60
- Lifetime ISA (if applicable – per LISA) – £90.00
- Ashtons Legal Fee for Help to Buy scheme administration – £120 (where applicable)
- HM Land Registry fee – £270
- Bank transfer administration fee – £36
- Stamp Duty or Land Tax filing fee – £8.40
- Other/minor disbursements e.g. Land Charges Searches – £24
- Engrossment fee (not charged by Ashtons, levied by the developer’s solicitors where applicable) – £180 (approx.)
Disbursements are costs related to your matter that are payable to third parties, such as Land Registry fees or Search fees. We handle the payment of the disbursements on your behalf to ensure a smoother process.
Land Registry fees are set by the Land Registry – fee information can be viewed here.
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 here. Our example assumes that you are first time buyers and meet the SDLT requirements for relief in that respect. Full details are available from HMRC.
In this instance, the Stamp Duty or Land Tax payment will be £0.
Referral fee (if any)
This is not an additional cost payable by you. In some circumstances, it is a commercial cost payable by us to the firm who referred you to us. Full information will be contained in the initial letter we send you which confirms our instructions and full details of our fees etc, including the amount of any referral fee we may have paid. In this example, we have assumed that you have approached us via an Estate Agent with whom we have an agreement to pay £50 per case referred.
- Amount of referral fee paid – £50
- Recipient of referral fee XYZ Estate Agents Ltd.
How long will my house purchase take?
How long it will take from your offer being accepted until you can move into your house will depend on a number of factors. The average process takes between 10 – 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 10 weeks. However, this is dependent on whether or not the property is structurally complete or not at the point of exchange.
Stages of the process
These are some key stages in the life of the transaction. Click here to find out more from our ‘Expertise in moving home’ brochure.
- 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 on 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 with you
- Send final contract to you for signature
- Agree to 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 purchase
- Deal with payment of Stamp Duty/Land Tax
- Deal with application for registration at Land Registry.