Bringing in the help of a solicitor can add anywhere between £500-£1,800 to the price of selling your home. With that in mind, it’s hardly surprising that many people consider carrying out the conveyancing process by themselves – and whilst the DIY route is possible in some scenarios, you will need to put in quite a bit of extra work.
Alternatively, a licensed conveyancer can prove a cheaper option if you’re looking to save some money, and we’ll outline the key differences for you in this guide – as well as helping you make the best decision by outlining the pros and cons of going it alone (vs. with a qualified professional by your side), alongside the potential risks of doing so.
Alternative 1: Use a licensed conveyancer
In England and Wales, instead of using a solicitor you can use a licensed conveyancer – who performs a similar function, but with some marked differences you need to be aware of.
Firstly, it’s important to note that both solicitors and conveyancers are regulated professionals, and both deal with the legal work required in selling and buying a home.
However, unlike solicitors, conveyancers aren’t governed by the Law Society but are instead are regulated by a body called the CLC (Council for Licensed Conveyancers). Here are a few other key differences between a licensed conveyancer and a solicitor:
- A licensed conveyancer may act on both sides (i.e. for both the buyer and seller) of a property transaction.
- A licensed conveyancer is not required to disclose any referral fees that they get from an estate agent or any other body – whereas solicitors are required to disclose this information.
- Unlike solicitors, licensed conveyancers don’t tend to work in a multidisciplinary firm. This means that they will not have access to the same levels of knowledge about other areas of the law (e.g. family law, tax planning etc). If any of these factors are linked to your house sale, and you require some more detailed and nuanced legal advice, then a conveyancer may not be the best option for you.
When it comes to the price difference between solicitors and licensed conveyancers, although the latter tends to work out slightly cheaper, it’s usually only by a small margin. As with anything, be sure to do your research properly and shop around for the best deals.
Alternative 2: DIY Conveyancing
Before we get started on this section, let’s review some of what a solicitor or conveyancer would undertake on your behalf for a house sale in England and Wales:
- Obtain your title deeds and support you in filling in necessary questionnaires.
- Prepare and distribute a contract for sale.
- Request a settlement figure for your mortgage.
- Liaise with the parties acting on behalf of the buyer to negotiate a moving date.
- Act as the recipient of the house deposit.
- Organise the final accounts and prepare a final settlement.
- Approve the deed of transfer.
- Pay off the remainder of the mortgage.
- Hand over the property deeds.
- Send any outstanding balance to you.
If you are considering going down the DIY conveyancing route, then you will personally be responsible for carrying out all of these tasks. And alongside these core duties, depending on the type of house sale you are involved in, there can be a few extra complexities to be taken into consideration.
Firstly, are you selling a leasehold property? If you are, then the owner of the freehold may insist that you use a solicitor or conveyancer for the house sale. Even if they don’t insist, the complexities associated with this type of sale are much more substantial than with a freehold property – so it may just be worth leaving it to the professionals.
The second complexity is that some mortgage providers insist on using a solicitor or licensed conveyancer in order to protect their interests. Some banks will even require you to use one of their own recognised solicitors, so bear that in mind and be prepared to be flexible in this case.
The third complexity is that you will likely be uninsured against mistakes or oversights if you manage things off your own back. If you do end up making any errors during the conveyancing process, then you are potentially opening yourself up to the possibility of being sued and – as a consequence – spending extra money in legal and court fees.
Finally, if you have an outstanding mortgage then the buyer’s solicitors will likely not accept any ‘undertaking’ from you acting on your own without a legal professional as a go-between. (An undertaking is a promise between solicitors or conveyancers that any remaining mortgage will be paid off using the proceeds from the property’s sale).
In summary, it is perfectly possible to sell your property without a solicitor – and in some cases, this can be a good option. However, the most popular alternative is to go with a licensed conveyancer, who will often work out to be slightly cheaper whilst still doing much of the same work, and crucially taking that potentially painful pile of paperwork off your hands.
For more information about going down the DIY conveyancing route, check out the book ‘House Buying, Selling and Conveyancing’ by Joseph Bradshaw.
