Conveyancing fees rise but remain below pre-Covid average - research

Conveyancing fees are rising but remain below highs of pandemic during the Stamp Duty holiday, research suggests.

Comparison website reallymoving’s latest Conveyancing Costs Index found legal fees  rose by 10.2% between the first and second quarter of the year.

Home movers- those buying and selling - are now paying a total of £2,380 including disbursements, according to the index.

While prices have now exceeded the third quarter 2022 peak of £2,368, they remain 8% lower when adjusted for inflation, reallymoving said.

During the second quarter of this year, the cost of conveyancing has increased in every region of the UK apart from Scotland, which saw a 0.7% quarterly fall. 

Price growth was strong across the board, with the largest increases in the North West (+17.1%), Northern Ireland (+13.9%) and London (+13%).

Rob Houghton, chief executive of reallymoving, said: “The past four years have brought significant challenges to the conveyancing sector with high demand volatility, and the sector has struggled to return to the price levels of the pandemic stamp duty holiday.

"There has been strong price growth in the last quarter, and this trajectory needs to continue before conveyancers see growth in real terms, when adjusted for inflation.

“Transaction volumes have been recovering steadily but Land Registry data shows they remain 10% below pre-Covid averages, and mortgage approvals are still 16% down. We expect this gap to close as mortgage rates fall.”