Conveyancing Quotes – Why Aren’t Fees Simple?
When you visit your local estate agent to start searching for your dream home—whether you’re upsizing, downsizing, or moving to a new area—it’s reassuring to feel they’re on your side. Once you’ve found the perfect property and your offer is accepted, it feels like you’re halfway there. But here’s a critical point to consider: estate agents don’t act for you. This is why it is important to check any conveyancing quote and get more than one!
Estate Agents Act for Sellers, Not Buyers
While estate agents may seem helpful, they are ultimately working for the seller—the one who pays their fee. Solicitors and surveyors are bound by strict ethical codes regarding conflicts of interest, but the same cannot always be said for estate agents. This becomes especially important when estate agents ‘recommend’ solicitors. Are these recommendations in your best interest? Let’s explore what’s really happening.
Comparing Conveyancing Quotes
A client recently shared a conveyancing quote provided by their estate agent. At first glance, the cost seemed similar to ours:
- Estate Agent’s Fee: £699 + VAT
- Our Fee: £600 + VAT
However, a closer look revealed significant differences in additional charges and the services included. For instance:
- SDLT Return: The agent’s quote charged £75 + VAT for this mandatory document, whereas we include this in our fee.
- Case Software Fee: Another £25 + VAT was charged for the agent’s computer system—something we don’t charge at all.
- Archive Fee: £30 + VAT was added for storing the file post-transaction, which we also include at no extra cost.
Here’s a full breakdown:
| Service | Them | Us |
|---|---|---|
| Fixed Fee | £699 | £600 |
| Telegraphic Transfer Fee | £35 | £16 |
| ID Verification | £10 | – |
| SDLT Return | £75 | – |
| Lender Fees | £50 | – |
| Case Software Fee | £25 | – |
| Land Registry Fee | £95 | £95 |
| Searches | £300 | £178.20 |
| Archive Fee | £30 | – |
| VAT | £178 | £123.20 |
| Total | £1,497.80 | £1,012.40 |
Hidden Costs and Referral Fees
Upon reviewing the agent’s quote further, we found that £430 of the total legal fees didn’t go to solicitors at all. Instead:
- £250 went to a ‘panel manager’, who allocates work to solicitors.
- £180 was a referral fee—a kickback to the estate agent for recommending the solicitor.
What’s more, the panel manager is owned by the same parent company as the estate agency. Essentially, you’re paying estate agents £430 + VAT for referring you to a solicitor—not for the quality of their recommendation but because of financial incentives.
Supporting Local Solicitors
When you choose us, the whole fee goes to a local firm of solicitors, supporting both small businesses and your local economy. By comparison, only £464 of the £894 quoted by the estate agent’s recommended solicitor actually goes towards your case—and it’s unlikely to be handled by a local firm.
Are Estate Agent Recommendations Reliable?
In our experience, estate agent recommendations for conveyancing solicitors aren’t based on merit or service quality. Instead, they’re a means for agents to profit from buyers through hidden charges and referral fees. You’re paying more while receiving less.
Get a Transparent Conveyancing Quote
Avoid the middleman and hidden fees. For an impartial, transparent conveyancing quote, contact us on 01653 916 606.