When remortgaging your property, it's important to consider conveyancing fees. These fees cover the legal work required to transfer or update your mortgage, ensuring that the property’s title and financial obligations are correctly documented.

If you're planning to remortgage your home, understanding the different conveyancing fees involved will help you budget effectively and avoid any surprises.

Here's a breakdown of what you can expect in terms of conveyancing fees when remortgaging in the UK.

1. Basic Legal Fees

Most conveyancing solicitors charge a basic fee to handle the legal aspects of your remortgage. These fees typically range from £300 to £1,000 depending on factors like:

  • The complexity of the case
  • The value of the property
  • The specific services required

Some solicitors offer fixed fees for remortgaging, which can help you avoid unexpected costs. It's important to shop around and compare quotes, which you can do by using our quote comparison tool to find a solicitor that offers both value for money and expertise.

2. Land Registry Fees

When remortgaging, the Land Registry must update its records to reflect your new lender. The Land Registry fees vary depending on the value of your property and whether you submit your application online or by post.

  • For properties valued up to £100,000, the fee is £20.
  • For properties between £100,001 and £200,000, the fee is £30.
  • Properties valued at £200,001 to £500,000 incur a fee of £40.

If the process is more complex, for example, if you're switching ownership or adding/removing a name from the title, the fees might be higher.

3. Search Fees

When remortgaging, your new lender may require property searches to ensure there are no legal issues or financial obligations tied to the property. These searches include checks for local authority details, environmental risks, and water drainage issues.

Search fees typically range between £200 and £400 depending on your location and lender requirements. Some lenders, however, may not require full searches and might accept search indemnity insurance, which could lower your costs.

4. Bank Transfer Fees

To ensure the smooth transfer of funds between the lender, solicitor, and mortgage holder, there is usually a telegraphic transfer fee. This fee covers the cost of sending mortgage funds from the lender to the solicitor and then to the property owner.

The fee is generally around £20 to £50 and is a standard part of remortgaging transactions.

5. Mortgage Lender Fees

Your lender may charge an administration fee or mortgage arrangement fee as part of the remortgaging process. This can range from £100 to £300, depending on the lender and the mortgage deal you choose.

Some lenders may include these fees in the mortgage amount, but it's worth confirming whether any such fees apply to avoid unexpected costs.

6. ID Verification Fees

Solicitors are required to verify the identity of their clients as part of anti-money laundering regulations. This may incur an additional charge of around £10 to £20 per person. This fee covers the cost of checking and confirming your ID.

7. Other Potential Fees

In some cases, there may be additional fees involved in your remortgage. For example:

  • Leasehold properties: If you're remortgaging a leasehold property, you may need to notify the freeholder, which can lead to extra charges.
  • Additional legal services: If your remortgage involves extra legal work, such as transferring ownership, this could increase the overall conveyancing costs.

How to Reduce Conveyancing Fees When Remortgaging

  • Choose a lender with no legal fees: Some lenders offer remortgage deals with free legal services as part of the package. While this can save you money, these free services may not be as fast or personalised as hiring your own solicitor.
  • Compare conveyancing quotes: Get multiple quotes from different solicitors or conveyancers to ensure you're getting a competitive price.
  • Consider fixed-fee conveyancing: Some solicitors offer a fixed fee for remortgaging, which can help you budget more effectively and avoid hidden costs.

Conclusion

Conveyancing fees are an essential part of remortgaging a property in the UK. While the costs can vary depending on the complexity of the process, they typically include basic legal fees, Land Registry fees, search fees, and bank transfer fees.

By understanding these charges and comparing different solicitors' offers, you can ensure a smoother and more affordable remortgage experience.

If you're planning to remortgage, it's always worth getting quotes from several solicitors and checking with your lender about any additional costs to avoid unexpected fees during the process.