Complete Guide to Conveyancing in the UK
Understanding the legal process of buying and selling property
What is Conveyancing?
Conveyancing is the legal process of transferring property ownership from one person to another. It covers all the legal and administrative work required to ensure that the buyer becomes the legal owner of the property and the seller receives the agreed purchase price. This process applies whether you are buying, selling, or remortgaging a property.
The conveyancing process involves several key stages: pre-contract (including searches and enquiries), exchange of contracts, and completion. During pre-contract, your solicitor will investigate the property's legal title, conduct local authority searches, raise enquiries with the seller's solicitor, and review the draft contract. This stage often takes the longest as potential issues are identified and resolved.
Conveyancing can be carried out by a solicitor or a licensed conveyancer. Both are regulated professionals qualified to handle property transactions. The main difference is that solicitors have broader legal training and can assist with related matters like tax implications or disputes, while licensed conveyancers specialise specifically in property law. For straightforward transactions, either is suitable.
The Conveyancing Process Explained
The conveyancing process typically begins once your offer on a property has been accepted. Your first step is to instruct a solicitor or conveyancer, who will send you initial paperwork including their terms of engagement and requests for identification documents to comply with anti-money laundering regulations.
Your solicitor will then obtain the draft contract and title documents from the seller's solicitor. They will review these documents carefully, checking for any issues with the legal title, restrictions, or covenants that might affect your use of the property. Simultaneously, they will order searches from the local authority and other organisations. These searches reveal important information about planning applications, environmental risks, drainage, and other factors that could affect the property.
Based on the search results and their review of the documents, your solicitor will raise enquiries with the seller's solicitor. These are questions about specific aspects of the property, such as boundaries, fixtures and fittings, or any works that have been carried out. This back-and-forth can take several weeks as issues are clarified and resolved.
Exchange and Completion
Exchange of contracts is the point at which the transaction becomes legally binding. Before exchange, either party can withdraw without penalty (though they may lose survey fees and other costs). At exchange, both parties commit to the transaction, and a completion date is set. The buyer typically pays a deposit of 10% of the purchase price at this stage.
Between exchange and completion, your solicitor will prepare for the transfer of funds and ensure all final arrangements are in place. If you are taking out a mortgage, they will draw down the loan from your lender. They will also prepare the transfer deed and any other documents required to complete the purchase.
On completion day, your solicitor transfers the purchase money to the seller's solicitor. Once the seller's solicitor confirms receipt, you become the legal owner of the property and can collect the keys. Your solicitor will then register your ownership with the Land Registry and pay any Stamp Duty Land Tax on your behalf. The registration process can take several weeks, but you own the property from completion day.
Conveyancing Costs and Disbursements
Conveyancing costs comprise two elements: your solicitor's fees for their work, and disbursements, which are payments to third parties that your solicitor makes on your behalf. Understanding both is essential for budgeting your property purchase.
Solicitor fees for a straightforward purchase typically range from £800 to £1,500 plus VAT, though this varies by location and property value. Some solicitors offer fixed fees, while others charge on a time basis. Additional fees may apply for leasehold properties, new builds, or if you are using a Help to Buy scheme. Always ask for a detailed quote that includes all potential fees before instructing a solicitor.
Disbursements include Land Registry fees (£100-£500 depending on property value), search fees (typically £250-£400), and bank transfer fees. If the property is leasehold, there may be additional fees for notices to the freeholder and obtaining management information. The largest disbursement for most buyers is Stamp Duty Land Tax, which varies based on the purchase price and whether you are a first-time buyer or purchasing an additional property.
Common Conveyancing Issues
Various issues can arise during conveyancing that may delay or complicate your transaction. One common problem is defects in the title, such as missing documents, unclear boundaries, or unregistered land. These issues require resolution before the transaction can proceed, which may involve obtaining indemnity insurance or tracking down historical documents.
Search results can reveal problems such as planned developments nearby, contaminated land, or flood risks. Your solicitor will advise you on the significance of any issues and whether they affect the property's value or your ability to obtain a mortgage. Sometimes issues are minor and can be resolved with an indemnity policy; others may require renegotiation of the purchase price or even withdrawal from the transaction.
Leasehold properties present additional complexities. Your solicitor must review the lease terms, check the remaining lease length (anything under 80 years can be problematic for mortgages), and examine service charges and ground rent arrangements. Recent legislation has changed some leasehold practices, but it remains important to understand your obligations as a leaseholder before purchasing.
Choosing a Conveyancing Solicitor
When selecting a conveyancing solicitor, consider their experience, communication style, and fees. An experienced conveyancer will handle issues efficiently and keep your transaction on track. Ask how many property transactions they handle and whether they have experience with your type of property (leasehold, new build, etc.).
Communication is crucial in conveyancing. The process involves multiple parties and deadlines, so you need a solicitor who responds promptly and keeps you informed of progress. Many modern conveyancing firms offer online portals where you can track your case. During your initial contact, assess how quickly they respond and whether they explain things clearly.
While cost is important, the cheapest quote is not always the best value. Very low fees may indicate a high-volume practice where your case receives less personal attention. Look for transparent pricing with no hidden fees, and check whether the solicitor is on your mortgage lender's panel if you are taking out a mortgage. Reading reviews from previous clients can provide useful insights into a firm's service quality.
Frequently Asked Questions
Disclaimer: This guide provides general information about the law in England and Wales. It is not legal advice and should not be treated as such. Every situation is different, and you should consult a qualified solicitor for advice specific to your circumstances.