who pays conveyancing fees

Get to know who pays conveyancing fees

Solicitors are an indispensable component of any real estate transaction. They are the custodian of law. They advise parties to a transaction on how to go about the sales. Without them, buyers, sellers, and any other party that is involved in conveyance can make mistakes that might cost them financially or legally.  Given their roles, it is just fair that solicitors be given due compensation. Anyone who hires a solicitor for conveyancing will have to pay solicitor fees. Solicitor fees make up most of the conveyancing fee. You are the one who pays conveyance fees to solicitors and third parties. Most people believe that only buyers and sellers should pay conveyance fees. Other than buyers and sellers, there are many other people that are involved in soliciting. All the people that make part of the conveyance are the once who pays conveyance fees.

Buyers need solicitors in each step of conveyancing.  They have to engage solicitors from the time they identify a property of interest until when the property is sold, and all documents are filed. Buyers’ solicitors usually continue with their work long after actual property transaction. Solicitors help buyers draw conveyance drafts and contracts. They also help in property research. All these services that are offered by solicitors must be paid for by buyers.  Conveyance fees that are charged depend on the amount of work the solicitor will have to do.

Sellers also need solicitors. Solicitors act as intermediaries between buyers and sellers. They communicate sellers’ terms of sales to the buyers. Solicitors also help buyers in settling out their mortgage once they receive money from buyers’ solicitors. Buyers are never present at the settlement or completion of conveyance. They delegate this duty to their solicitors. The solicitor must keep his client up to date with everything that happened during completion. Conveyance fees for sellers’ solicitors are usually different from that of buyers’ solicitors. This is because the nature of work that a buyer’s solicitor does is distinct from that of a seller’s solicitor even when the two are involved in the same transaction. The two parties belong to different sides of the coin

Freeholders also need solicitors in their real estate transactions. A freeholder does not have to be a seller. A good example of a freeholder who is not a seller is a landlord. A landlord is not permanently exchanging his property. Therefore, he cannot be referred to as a seller. Owners must come up with rules that govern tenancy of their properties. These rules must conform to the law. Solicitors know which rules apply to tenanted properties. They are the ones that are best suited to help landlords come with proper tenancy agreements.

Real estate insurance firms must also use the services of solicitors.  Solicitors help insurance companies to come up with real estate insurance policies. This is because the solicitors know more about trends in real estate and how insurance companies can take advantage of changes in real estate ownership. Insurance firms also need solicitors to mediate between them and homeowners in case of disputes.  A new home buyer must work with a solicitor for an insurance firm if he wants to get his property covered. The buyer may have to pay solicitor fees for the insurance firm’s conveyance. Otherwise, it is the duty of the insurance firms to pay their own solicitors.

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