Mortgages & Re-Mortgages Fees

Our Mortgages & Re-mortgage Conveyancing Fees

The stages involved in the process of mortgaging or re-mortgaging a property vary according to the circumstances.

Our fees cover all of the work required to complete the mortgage or re-mortgage a property, including dealing with the registration at the Land Registry.

The precise stages involved in the process of mortgages and re-mortgages, included in your fixed fee, are:

• Take your instructions and advising you
• Obtaining each buyer’s evidence of identity and address;
• Checking the title ownership documents
• Carrying out searches
• Dealing with any lenders
• Receiving and advising on contract documents
• Explaining the conditions of any mortgage offer to you
• Repaying any mortgage
• One telegraphic transfer fee of £25.00 + VAT (£5.00) Total £30.00
• Dealing with theregistration of your mortgage at the Land Registry

Potential Additional Fees

The fixed fees we have outlined above is based on a standard freehold property transaction.  Occasionally, due to the nature of the transaction or unexpected complexities, it is necessary for us to charge an additional fixed fee to cover the extra work involved.  This may include one or more of the following:

Leasehold House: £100.00 + VAT (£20.00) Total £120.00  – this will cover the additional work involved in communicating with your landlord, the management company or their agents.

Leasehold flats: £300.00 + VAT (£60.00) Total £360.00 – this will cover the additional work involved in communicating with your landlord, the management company or their agents.

Unregistered Title: £150.00 + VAT (£30.00) Total £180.00 (sale) – £250.00 + VAT (£50.00) Total £300.00 (purchase). It is a requirement that all property purchases or re-mortgages are registered with HM Land Registry. If the property you are buying or mortgaging has not previously been registered, we charge an additional fee for this.

Voluntary First Registration – £500.00 + VAT (£100.00) Total £600.00.

Help to Buy ISA: £50.00 + VAT (£10.00) Total £60.00 – where there is an existing or new Help to Buy ISA we charge an additional fee to cover the work involved in communicating with the Help to Buy Agency.

Help to Buy Scheme: £175.00 + VAT (£35.00) Total £210.00 – where there is an existing or proposed loan using the Help to Buy Scheme we charge an additional fee to cover the work involved in communicating with the Help to Buy Agency.

Shared Ownership: £400.00 + VAT (£80.00) Total £480.00  – if the property you are buying is part of a shared ownership scheme we charge an additional fee to cover our communications with the Housing Association or their solicitors.

Declaration of Trust (non-bespoke – as part of an ongoing conveyancing transaction)

£150.00 + VAT (£30.00) Total £180.00 – Where you require an agreement to protect your interest or share in a property you are buying, we charge an additional fee to prepare, complete and register the documentation.  There may also be an additional Land Registry fee to pay as outlined below.

Declaration of Trust (bespoke): £500.00 + VAT (£100.00) Total £600.00  – Where you require a bespoke agreement to protect your interest or share in a property you are buying, we charge an additional fee to prepare, complete and register the documentation.  There may also be an additional Land Registry fee to pay as outlined below.

Insurance Indemnity Policy: £50.00 + VAT (£10.00) Total £60.00 – If a policy is required we charge an additional fee to obtain and advise you on the terms of each policy.  This cost is in addition to the cost of the policy premium.

Mortgage Administration fee: £35.00 + VAT (£7.00) Total £42.00 – this is to cover the additional work involved in liaising with your lender and obtaining the mortgage offer through the lender’s portal.

Consent to Mortgage: £100.00 + VAT (£20.00) Total £120.00 – if you are purchasing a property jointly but only one person is taking out a mortgage, the lender will often require us to obtain the consent of the other purchaser.  This fee is to cover our work in contacting and obtaining the consent of the other joint purchaser.

Assumptions

Our fees highlighted above are based on the following assumptions:

– 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

– 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. The additional fees outline above will apply if indemnity policies are required.

Disbursements

Disbursements are costs related to your matter that are payable to third parties, such as search fees.

These can cover:

Searches – Mortgage lenders require us to carry out searches which are appropriate to the particular property.  The search facility will indicate which searches are appropriate taking into account the location of the property and any unusual feature.  Although it is not strictly necessary, we advise cash purchasers to also obtain searches to protect their interests.  The searches typically cost £187.74 + VAT = £225.29.  The searches covered by this price are usually satisfactory for the majority of properties.  However, additional searches may be required depending on whether there are any unusual features in either the location of or the actual property itself.

Land Registry Registration fee

This fee is set by the Government and is based on the value of the property you are purchasing.  You can calculate the fee here: HM Land Registry: Registration Services fees – GOV.UK (www.gov.uk).  Please note that if the property has not been registered previously, the fee will be higher.

Indemnity Policy Premium

If a risk has been identified with the property, you may need to obtain an indemnity policy if the seller doesn’t accept responsibility for payment.  The premiums vary according to the type and extent of the risk involved.  We will obtain a quote and advise you separately regarding this.

Leasehold

If you are mortgaging or re-mortgaging a leasehold property, there will be additional third-party costs which are set out in the lease.  We have highlighted the usual fees below but please note that this list is not exhaustive and will depend on the terms of the lease.  The fees vary from property to property and can, on occasion, be significantly more than the ranges given below.  Once we have seen the lease documents, we will advise you of the specific costs involved.

Redemption of Homes and Communities Agency charge

£100 + VAT (£20) Total £120 – only available as part of an ongoing conveyancing matter.

Notice of Charge fee (if the property is to be mortgaged) – estimated at between £50.00 – £200.00 exc VAT. In total £60.00 – £240.00 inc VAT.

Deed of Covenant fee – this is a fee that is set by the management company.  It is usually between £50 – £300 exc VAT. In total £60.00 – £360.00 inc VAT.

Certificate of Compliance fee – this is required on completion and is usually between £50 – £200 exc VAT. In total £60.00 – £240.00 inc VAT.

Referral fees

Sometimes a referral fee is paid to a third party for instance, an estate agent, for introducing your business to us.  The fees are usually between £100.00 – £150.00 + VAT.  This is not treated as an additional cost to you and we do not require you to pay us this additional amount.

Example of the Total Cost of a Typical Freehold Re-Mortgage

The following is an example of a typical freehold purchase of £180,000.

How Long Will my Mortgage or Re-Mortgage Take?

Every transaction is different, so it’s hard to pinpoint how long the process can take.  A typical mortgage or re-mortgage takes approximate 4-12 weeks but could be longer depending on a number of factors. We understand how important it is to resolve property matters quickly, that is why our expert property conveyancing solicitors will always endeavour to complete your transaction as soon as possible.

Overview of the process – Key stages

Getting a mortgage can be a daunting task, due to the range of mortgages available to choose from. Our conveyancing team have put together a step-by-step guidance on the mortgage application process:

1. Get Pre-Approval

You need to work out which kind of mortgage is best for you, how much you can afford to pay and obtain a pre-approval for this loan.

2. Apply for a Mortgage

You are ready to apply for a mortgage, and you will need to approach a mortgage lender. We recommend going back to the one that gave you pre-approval, but you can shop around to make sure you get the best deal.

3. Complete Loan Processing

The lenders will pull together all the information you have provided into a loan estimate which is a document which presents the home loan information in an easy-to-read format.

4. Go Through the Underwriting Process

Your application will then be assessed by underwriters who are the key decision-makers in the mortgage approval process and are the people who will give the final approval.

5. Close on the Property

It typically takes 30–45 days to close on a house, depending on how long it takes to get a home inspection, and whether you are pre-approved for a mortgage.

Why Choose the Howells Solicitors Property & Conveyancing Team

Client Feedback

We consistently receive 5-star feedback from our clients, and 99% of past clients would recommend us to their friends and family. We rank as the number 1 law firm for property and conveyancing in Rotherham and Barnsley, and number 3 in Sheffield on  reviewsolicitors.

Competitive Prices

We strive to deliver top-quality legal services at competitive rates, meaning you will receive the best service no matter what the price you pay.

Professional Service

Our Property & Conveyancing specialists are highly regarded in the industry and receive fantastic feedback on their professionalism, whilst being down to earth and offering a personalised service to each client.

Guidance and Support

We aim to make the conveyancing process stress free and easy. We’re with you every step of the way and we are there to offer advice to keep your mind at ease. We also communicate regularly, openly, and sensitively. We are always ready to listen.

Transparency

What we quote for is what we do and we make sure you are fully aware of the mystery about the legal process, so you have no fears or worries. We are also fully transparent with all of our costs, and will explain you all costs involved with your transaction from the outset.