What are the Conveyancing Fees for Buying and Selling a Residential Property?
Buying or selling a residential property can be a stressful experience. For many of us, buying a residential property is the most expensive financial transaction we will ever make, and selling a home can also cause emotions to run high as we consider the memories we made while we lived there. Due to this, for the transaction is vital. Here, we’ll cover the fees charged by conveyancers and whether you’ll need to pay Transfer Duty on the transaction.
Getting Quotes for Conveyancing
The conveyancing market is an incredibly popular one, with thousands of property transactions taking place across Queensland every day. As with any professional service, if you get quotes from different conveyancers, then they’ll likely all be different.
However, when you’re buying or selling a property, there are a number of factors to consider, and the cheapest quote you receive may not be the best. Depending on the complexity of your matter, the amount you pay for conveyancing will vary and there may also be other fees that you need to pay. For this reason, you should.
When you’re asking conveyancers for quotes, you should not only ask them for an overall value, but you should also ask them for a full breakdown so you can understand what’s covered by the quote.
What Should the Quote Include?
There are multiple aspects to any conveyancing quote and you should be aware of these to ensure that your quote includes everything you need it to. Generally speaking, there are three key areas:
- Professional fees – this is the time charged by the lawyer for the work they undertake relating to your matter. Whereas most lawyers usually charge an hourly rate for family law matters, most firms use a standard fee for conveyancing matters.
- Goods and Services Tax – Goods and Services Tax (also known as GST) is an unavoidable additional cost to your conveyancing fees and should be included in your quote.
- Searches – part of the conveyancing process involves your conveyancer performing a number of searches or paying for outlays (depending on the exact nature of your matter). Searches to some degree will always be involved in the conveyancing process and you should make sure that the cost of the searches you require is included in your quote.
If you ask for a detailed breakdown of your quote, you may realise why some firms are cheaper than others, as many firms will not include searches within their quote in order to make it cheaper. However, searches are an unavoidable cost, so you should make sure that your quote includes everything you’ll eventually have to pay. This way, you can make an informed decision about which quote is best for you and your matter, and you can directly compare quotes.
In addition to the conveyancing fees, you should be aware that there are other costs associated with buying a property, such as registration costs, inspections, survey costs and valuation fees.
What is Transfer Duty and Will I Have to Pay it?
Transfer Duty is payable on the contract when you buy or sell a residential property over the value of $5,000. Transfer Duty is paid by the buyer, and the amount you pay depends on the price you’re paying for the property.
Your lawyer will be able to inform you about what Transfer Duty is payable as part of the transaction and the transfer documents will be stamped in accordance with the assessed Transfer Duty amount. Should you wish, you can also use an online Duty Transfer calculator to check the amount you’ll be required to pay.
If you would like a quote for conveyancing on your residential property matter, then please contact our office on (07) 3343 9522 or (07) 5446 1745 or through our contact us service here. We can provide you with a detailed breakdown of the fees you can expect to incur.