# Legal fee purchase ?? Mortgage ??



## Alzak (Aug 31, 2010)

Hi All 

I'm in process of buying firs house and have some problem with understanding all fees involved ... price for legal fee purchase/solicitors/conveyancers fee stand around £1100 on letter given to us by estate agent where we want to buy house from, is this price right as for me it looks quite high ??


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## S63 (Jan 5, 2007)

If that includes everything i.e. solicitors fees, survey fee, it sounds like you had a bargain! I can't believe that includes a survey fee for that price, unless you are going for the cheapest valuation survey.

Do you have any stamp duty to pay?


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## Alzak (Aug 31, 2010)

No as house is under 125k so no stamp duty and these fees include just fees paid on exchange for land registry etc as lender pay for valuation/survey/searches

This is newish (5 years) house so not so sure if I need extended survey ??


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## S63 (Jan 5, 2007)

Take two

You haven't mentioned survey fee, £1100 is then a high rate if not included. Are you using the solicitor with an affiliation to the estate agent? If you are I'd say don't, shop around, I reckon a fee between £800 and £900 would be nearer the norm :thumb:


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## S63 (Jan 5, 2007)

Alzak said:


> No as house is under 125k so no stamp duty and these fees include just fees paid on exchange for land registry as lender pay for valuation/survey/searches
> 
> This is newish (5 years) house so not so sure if I need extended survey ??


There are three levels of survey
1. Valuation survey, guys walks in spends 10 minutes nosing around and assesses value. Approx £200

2. A survey the majority of people have, an inspection lasting 45 to 60 minutes, damp is checked, a brief investigation of the structure, no electrical or gas checked though about £500, most probably your best bet.

3. Full building survey, several hours with little not looked at, approx £800, normally required for larger older properties.


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## Alzak (Aug 31, 2010)

Is the valuation/survey offered usually by lender as part of deal is exactly same as number 1 from Your list ??


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## S63 (Jan 5, 2007)

Alzak said:


> Is the valuation/survey offered usually by lender as part of deal is exactly same as number 1 from Your list ??


I've never encountered a "package" such as this. What they are offering is purely for their own vested interest. i.e. is the property worth the amount they are going to lend you. If you want peace of mind you may want to consider a more thorough survey.

Also take into account anything they package within the loan e.g. a survey, you are going to pay interest on for the term of the mortgage.


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## Matt. (Aug 26, 2007)

S63 said:


> There are three levels of survey
> 1. Valuation survey, guys walks in spends 10 minutes nosing around and assesses value. Approx £200
> 
> 2. A survey the majority of people have, an inspection lasting 45 to 60 minutes, damp is checked, a brief investigation of the structure, no electrical or gas checked though about £500, most probably your best bet.
> ...


I had Survey No.3 4 years ago! It was the best £750 I have ever lost. The house needed damp proofing and a new roof within 5 years.


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## Alzak (Aug 31, 2010)

S63 said:


> I've never encountered a "package" such as this. What they are offering is purely for their own vested interest. i.e. is the property worth the amount they are going to lend you. If you want peace of mind you may want to consider a more thorough survey.
> 
> Also take into account anything they package within the loan e.g. a survey, you are going to pay interest on for the term of the mortgage.


The package is from nationwide for first time buyers and they offer £500 discount on product fees for first time buyers and there is no lower interest offer for first time buyers. I know this is already included in my mortgage and I pay for this as nothing in life is "for free".

Looks like I will have to shop around to find some good solicitor ...


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## S63 (Jan 5, 2007)

Alzak said:


> The package is from nationwide for first time buyers and they offer £500 discount on product fees for first time buyers and there is no lower interest offer for first time buyers. I know this is already included in my mortgage and I pay for this as nothing in life is "for free".
> 
> Looks like I will have to shop around to find some good solicitor ...


These natiional chains do deals with solicitors and get big discounts for bulk business, they rarely pass on that discount although they will dress it up to make it appear to be a bargain.

If its a straight forward conveyance without any hitches then there will be no problem for the buyer, this is rarely the case, chains, leases etc normally throw a spanner in the works, this is when you want your solicitor on top of the game,the solicitors they use are faceless, quite often in a different part of the country and can be a complete p in the a to deal with, a local indy is a far better bet and most likely cheaper.

Is the property you wish to purchase empty and freehold?


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## S63 (Jan 5, 2007)

Matt. said:


> I had Survey No.3 4 years ago! It was the best £750 I have ever lost. The house needed damp proofing and a new roof within 5 years.


I'd be going back to that surveyor and asking questions. :thumb:


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## Alzak (Aug 31, 2010)

S63 said:


> These natiional chains do deals with solicitors and get big discounts for bulk business, they rarely pass on that discount although they will dress it up to make it appear to be a bargain.
> 
> If its a straight forward conveyance without any hitches then there will be no problem for the buyer, this is rarely the case, chains, leases etc normally throw a spanner in the works, this is when you want your solicitor on top of the game,the solicitors they use are faceless, quite often in a different part of the country and can be a complete p in the a to deal with, a local indy is a far better bet and most likely cheaper.
> 
> Is the property you wish to purchase empty and freehold?


Yes property is chain free but is repossessed house so making offer to some corporation and there is one problem as house was bough on 50% share so bank own half and looks like developer or building society another 50% ... so having good solicitor on board will definitely help.


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## Matt. (Aug 26, 2007)

S63 said:


> I'd be going back to that surveyor and asking questions. :thumb:


Why?


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## S63 (Jan 5, 2007)

Matt. said:


> Why?


I say that because had any of your problems been apparent when surveyed and reported back to you then you may have either offered a lower price or not gone ahead with the purchase at all.

If neither of the problems existed when surveyed then I'd say you have been very unlucky.


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## Matt. (Aug 26, 2007)

We didn't purchase the house. We offered a lower price, which wasn't accepted.

The owner at the time would give us a sum of money for the damp course to be done, but only after he left the house.

That's why I said its the best £750 I've spent/lost.


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## S63 (Jan 5, 2007)

Matt. said:


> We didn't purchase the house. We offered a lower price, which wasn't accepted.
> 
> The owner at the time would give us a sum of money for the damp course to be done, but only after he left the house.
> 
> That's why I said its the best £750 I've spent/lost.


Ok, misunderstood your original post, glad you didn't get lumbered. :thumb:


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