At Eden, we want to provide the best certainty and security for our clients. That’s why all our quotes come with the option of no excess cost protection.
At first glance ‘No sale, no fee’ sounds appealing. However, there are pitfalls that could end up costing you much more, which can be avoided by using a cost protection plan.
In this article, we’re going to break it all down, let’s get into it.
Cost protection is a no excess cover that protects your finances in case your property sale or purchase falls through due to reasons outside your control. It covers the up-front costs associated with buying or selling a property, so whether you get an adverse search, gazumped, or the other party pulls out, you can rest easy knowing your finances are secure.
Cost protection covers more than just legal fees. It also covers surveys, valuations, and mortgage fees. When you know that you’re protected, you get peace of mind. Moving home can be stressful, so cost protection gives you less to worry about.
If you're nearing exchange of contracts on a property purchase and the seller unexpectedly pulls out for reasons beyond your control, there's often little recourse. However, cost protection would allow you to recover expenses already incurred like mortgage fees, survey costs, and conveyancing charges.
A ‘No sale, no fee’ offer promises that if your property transaction does not complete, then you will not have to pay your conveyancer any legal fees.
If your house sale or purchase were to fall through, you would usually be charged by your conveyancer for the work up to that point based on the work completed. So, a ‘No sale, no fee’ offer can be enticing and provide advantages for you as a client.
But it often sounds like you are saving more than you first think. If your sale or purchase fell through just before the exchange, you wouldn’t owe any legal fees, but you would still need to pay for search fees, any other disbursements, and third-party costs.
It’s key to remember that these promises only save you from paying legal fees, it doesn’t cover everything in the purchase or sale process.
‘No sale, no fee’ won’t cost you anything if the conveyancer offers it. Moving to cost protection works slightly differently. Cost protection comes at an additional cost but offers you a much stronger cover.
Purchasing or selling a house can be expensive and we understand that extra costs can be frustrating. And so, cost protection is optional on all our quotes. You don’t have to take out the cover if you don’t feel the financial security it provides is right for your sale or purchase.
As a client, you are always at the forefront of our minds. We want to make conveyancing more simple, and less stressful. We offer cost protection as it is the best way to protect your finances if your sale or purchase falls through due to reasons outside your control.
The average cost of a property transaction collapsing is £2,500. Our goal is to make sure you lose as little of that as possible.
Cost protection adds certainty for things that are outside your control. It offers greater protection than ‘No sale, no fee’, letting you focus on the excitement of your move rather than worrying about the financial implications of a property transaction falling through.
Learn more about Eden's cost protection here.