Solicitors fees

Hi everyone,

A bit of advice would be much appreciated!

We are purchasing two apartments on United Golf Resorts La Tercia with the primary aim of renting them. We have completed on one of them and negotiated our legal fee down to 1.5% of the purchase price from 3%. Even the lower rate seemed high to us, but at least it was a 50% cut! Our solicitors are PSI.

We recently had the breakdown for the second apartment showing 3% legal fees again. We have questioned this, pointing out that we would have thought that this should be a simpler purchase as there is no mortgage involved. This is their reply:

"On the matter of the PSI legal fee please be advised that your first property had a Spanish mortgage which means that our fee was reduced due to the mortgage provider making the tax payments for the purchase. However your second property for us will entail more work for us as there is no mortgage provider to make the work."

Is this true or a load of baloney!

Look forward to hearing from someone out there! Thank goodness for this forum!

Kind regards,
Lynn & John

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Gosh 3% for solicitors fees is extortionate. We completed on a property last October and our legal fees were .5% arre you sure they are not including other charges in there like notary fees etc. Your total costs inc your IVA etc should be about 11% of the total purchase price.

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Hi Lynn,
PSI are known for being expensive.
By using PSI I take it you bought through Ambasun?
maybe some of that 3% finds it way somewhere else if you know what i mean
For example the lawyer i use charges a flat fee of 1,000€ for a complete conyeyancing service,i have no doubt you could find cheaper,but he is very good.
What PSI are saying is that when you take a mortgage the bank will do a lot of the work for the lawyers because they have a shared interest in the proiperty,basically because they are lending against it.
Even so the lawyers should make the same checks on YOUR behalf.
If you are going to be takeing a mortgage the overall fees could be anywhere from 11%-13% depending on the mortgage set up costs.

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Our solicitor charged us 1% which included obtaining NIE numbers on our behalf and also includes a year's worht of legal advice and tax planning. 3% sounds like extortion to me!

Mark

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I know PSI - their charges are clearly laid out and do cover everything. You should have checked this at the start.

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This is the first breakdown we've had!

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I understand that but did you not ask for a breakdown of charges at the start. I recieved this without asking and made my decision accordinlgy. I would never hire people without knowing the fees.

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We dealt with Pablo Marcos, excellent service with contact mainly via his two Englsh assistants Tania and Christine. To complete they charged 800euros or 600euros if you didn't require a mortgage. They also provide other services and will handle wealth/rate taxes.  

Pablo Fernández Marcos,
Calle Fotógrafos Darblade 3, 1º-B,
03181 Torrevieja,
Alicante,

 

 0034 96 692 75 84

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