You will probably be remortgaging a property to finance another project, or to achieve a better interest rate on your current lending. We appreciate you will want your matter to progress quickly so that you can release the funds as soon as possible.
How can our remortgage solicitors help?
This is where Lester Aldridge steps in. We are appointed by most mortgage lenders on their panel of solicitors so are best placed to deal with your remortgage for you.
The job of our remortgage solicitors is to remove the stress from you to ensure your transaction proceeds quickly and smoothly every step of the way to achieve your goals. Your lender will require us to act on their behalf to make sure the title to the property provides good security for the borrowing. We will do this by checking the legal title and obtaining searches about the property.
There is certain information we will need from you regarding the property and any changes you have made to it. We will gather all this information at the start of the remortgage transaction. We will also make contact with your current mortgage lender to ensure that on completion your mortgage is repaid out of the new mortgage monies.
If we discover problems with the title we will discuss these with you and find practical, cost-effective solutions to those issues early on so as not to delay the transaction.
We will keep you informed as the remortgage conveyancing progresses as well as liaising with your mortgage broker to manage timescales and any linked transactions.
View our guide 10 steps to a remortgage
What is an equity release mortgage?
An equity release mortgage is a specific type of mortgage which is aimed at borrowers over a certain age who wish to release some of their equity in their property to fund other projects or lifestyle choices but who may not have the regular income available to fund a conventional mortgage.
This type of mortgage is becoming popular with parents’ keen to provide lifetime gifts to their children to help them on the property ladder.
The lenders have very specific procedures which we must adhere to. These include a face to face meeting with you to make sure you appreciate the implications of this type of loan. Our equity release solicitors are experts at dealing with this type of loan and will talk you through the necessary procedures.
How long does it take to remortgage?
This is the ultimate “how long is a piece of string” question? Every remortgage is different with its own challenges.
Our wealth of experience over many years enables us to assess how long a transaction will take. On average we advise our clients that it will take approximately four weeks from instructions to completion taking place.
If you do have a particular timescale that must be met, we will seek to achieve that for you.
What are the legal fees for a remortgage?
Our fees cover all of the work required to complete the remortgage, including dealing with registration at the Land Registry and the payment of Stamp Duty Land Tax (SDLT) if the property is in England, or Land Transaction Tax (Land Tax) if the property you wish to buy is in Wales but excluding Disbursements.
Our remortgage solicitor fees assumes that:
- This is a standard transaction and that no unforeseen matters arise including for example (but not limited to) a defect in the title which requires remedying prior to completion or the preparation of additional documents ancillary to the main transaction. Supplemental fees will be charged when the transaction is not standard or when it is a leasehold property.
- If leasehold, that it is the transfer of an existing lease and is not the grant of a new lease.
- 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. Additional disbursements may apply if indemnity policies are required.
Price is what you pay, value is what you get
We may charge additional fees/supplements for more complex transactions or where additional work is required such as (but not limited to):
- Deed of covenant under lease
- Deed of variation or rectification of lease
- Lease extension
- Deed of trust
- Deed of easement
- Advice on company issues
- Advice on planning issues
- Arranging and advising on indemnity insurance
- Dealing with late completion
- Administering leasehold retentions
- Preparation of statutory declaration
We will let you know in advance what our additional fees will be for this additional work. The range of hourly fees for this extra work is £110 to £250 (plus VAT) depending upon the complexity of the task and the experience of the person dealing with your transaction.
Our remortgage legal fees
Please note, all fees outlined in the below table are subject to VAT.
|Transaction value||LA fees|
|£250,001 – £500,000||£800|
|£500,001 – £1,000,000||£1,000|
|£1,000,001 – £3,000,000||£1,400|
|Over £3,000,001||Fees on application|
* Most flats are leasehold but they may come with a share of the freehold
Equity release mortgages
- Legal fees for an equity release loan £1,500 plus VAT
- If it is a leasehold property ADD £150 plus VAT
- Corporate borrower ADD £75 plus VAT
- Redemption ADD £100 plus VAT
- Tenant in situ ADD £100 plus VAT
- Transfer of equity ADD £200 plus VAT
- In addition to the CHAPS or other electronic payment charge (see below) there is the TT administration handling fee ADD £29.50 plus VAT (per bank transfer)
Remortgage/equity release disbursements
- Office copy title entries and title plan £6 plus VAT
- Office copy documents or lease £3 plus VAT per item
- Search pack – local search, drainage search, environmental search and plans search (variable) £300 – £400 plus VAT
- Bank TT fee required to send funds on the same day to redeem mortgage and/or any balance to yourselves is £5.50 plus VAT (per bank transfer)
- Land Registry registration fees (variable) based on value of new mortgage £40 – £910 (follow link in ‘Related pages’ at top of this page)
- Cancel repair indemnity policy £11.20 (inc VAT)
- Online ID check £4.80 (inc VAT)
Additional remortgage disbursements if leasehold
- Landlords notice of charge fee (variable) £50 – £150 (plus VAT) per item
To establish what the likely total cost for your remortgage solicitor fees, you should add together:
Fees + supplements + VAT + disbursements = total cost
Our abortive costs are based on the amount of time spent on the file calculated at the individual fee earner’s hourly charge out rate. This will vary according to the experience and status of the fee earner concerned. Any disbursements which have been incurred will also be charged if the matter goes abortive.
In some circumstances, other professionals such as estate agents and mortgage brokers will refer clients to us. We may pay them a referral fee for doing so. This fee is included within our fees quoted to you and at no additional cost to you. If we do pay such a referral fee we will notify you of this in our engagement letter.
Frequently Asked Questions
The precise stages involved in the remortgage process of a residential property vary according to the circumstances. However, our guide 10 steps to a remortgage sets out the conveyancing process.
Firstly, establish what is important to you. This may be cost or it may be the speed the transaction will progress. The reputation of the equity release solicitor will be important. Where ever possible you should seek recommendations from family and friends. Do some research online for good reviews and testimonials from past clients. Make some phone calls and obtain fee quotations. You will get a feel for the type of person you are talking to. They should make you feel at ease, explain how the transaction will progress and deal with any initial queries you have.
This will depend upon a number of factors. Different lenders have different criteria. These will determine what searches and enquiries are required to be carried out by your lawyer and therefore the timescale involved. On average we say it will take approximately 4 weeks to complete an equity release transaction – sometimes it is much quicker but it can be longer.
We will examine the title to the property and carry out any searches required by the lender. Because of the nature of an equity release mortgage the lender will wish to ensure you are fully aware of the implications of this type of borrowing. You will be required to have a face-to-face meeting with your property solicitor to go through your obligations and sign the mortgage deed. The lender will require your solicitor to certify that you understand the implications of the mortgage and that you have discussed this with your family or heirs. Once the lender has received all the necessary title information and certification from your solicitor, a completion date will be set. At completion, the mortgage funds will be sent to your solicitor who will settle his fees and disbursements and send the balance to you.