Buy-to-Let Conveyancing

Buying a property to let raises legal points that a home purchase does not. Brewer Wallace Solicitors acts for landlords and investors buying rental property across Hull and East Yorkshire, whether it is a first buy-to-let or an addition to an existing portfolio.

Alongside the usual conveyancing work, we deal with the requirements of buy-to-let lenders, check the terms of any tenancy that will continue after completion, and confirm the Stamp Duty Land Tax payable, which is usually charged at the higher rates on buy-to-let purchases.

What is buy-to-let conveyancing?

Buy-to-let conveyancing is the legal work involved in buying a property to rent out. It follows the same process as a standard purchase, with additional points to consider: the lender's conditions, any existing tenancy, and the obligations that will fall on you as landlord.

Key considerations for buy-to-let buyers

A buy-to-let purchase involves more than the standard legal checks. We advise on points such as:

• Buy-to-let mortgages: these have different conditions from residential mortgages, and the lender's requirements must be met before completion.
• Existing tenancies: where the property is sold with a tenant in place, we check the tenancy and the documents that should have been provided to the tenant.
• Stamp Duty Land Tax: the purchase of an additional residential property is usually charged at the higher rates, currently 5% above the standard rates.
• Landlord licensing: some local authorities require landlords to hold a licence for certain properties.
• Landlord obligations: safety, deposit and other legal requirements apply from the start of any tenancy.

The Buy-to-Let Conveyancing Process

1. Mortgage Arrangements

If you require a buy-to-let mortgage, we liaise with your lender to ensure all legal conditions are met.

2. Conducting Property Searches

We perform essential searches, including local authority, environmental, and drainage checks, to identify any potential risks associated with the property.

3. Reviewing the Contract

Our solicitors carefully examine the sale contract, ensuring your interests as a landlord are protected and advising on any restrictions.

4. Exchange of Contracts

Once all legal checks are complete, contracts are exchanged, and a deposit is paid. From this point, the transaction becomes legally binding.

5. Completion and Handover

On completion day, the remaining purchase funds are transferred, and you officially take ownership. We then register your property with HM Land Registry.

Stamp Duty Land Tax and other taxes

Most buy-to-let purchases attract the higher rates of Stamp Duty Land Tax. We confirm the amount payable on your purchase and submit the return to HMRC. Capital Gains Tax, income tax and wider tax planning are matters for your accountant or tax adviser, and we are happy to work alongside them.

Legal responsibilities as a landlord

Owning a rental property brings legal obligations, including:

• Gas and electrical safety compliance.
• Protecting tenants' deposits in a government-approved scheme.
• Using a tenancy agreement that complies with current law.
• Carrying out Right to Rent checks on tenants in England.
• Following the correct legal process if possession is needed.

We will draw your attention to any matter arising from the purchase that affects these obligations.

More Conveyancing services

Our conveyancing fees

Our fixed conveyancing fees, the disbursements you will pay, typical timescales and who will handle your matter are all published: buying a freehold home, buying a leasehold home, selling and remortgaging.