An equity loan lets a homeowner borrow against the value they already hold in their property, but before the funds are released, a legal process called conveyancing has to take place. Conveyancing is simply the transfer of the property's title, confirming that the home (or, in an equity loan, the security interest tied to it) is properly recorded and legally sound. Understanding how this fee works, and who pays it, helps borrowers budget accurately and avoid surprises at completion.
What Conveyancing Fees Actually Cover
When a lender agrees to issue an equity loan, it typically wants confirmation that the property's title is clear and that there are no competing claims against it. A licensed conveyancer or solicitor handles this work: checking the title register, coordinating with the Land Registry, and confirming that the loan can be legally secured against the home. This is different from valuation or arrangement fees, which cover the lender's own risk assessment.
Who Pays, and When
In most cases, the borrower pays the conveyancing costs upfront, before or at completion, rather than the lender absorbing them. Because lenders often work with a panel of preferred solicitors, it is worth asking whether you are free to instruct your own conveyancer instead of automatically accepting the panel option. A borrower who chooses their own solicitor can compare quotes and may find a better rate than the lender's default arrangement, though the lender will still need the solicitor's details fairly early in the application.
Finding a Solicitor or Conveyancer
Local solicitors who handle residential conveyancing are usually easy to find through a professional directory or a quick search for "conveyancing solicitor" plus your area. When comparing quotes, ask for a fixed-fee breakdown rather than an hourly estimate, since conveyancing costs can otherwise creep upward if the transaction hits complications like leasehold restrictions or title queries.
Options If You Cannot Cover the Fee Upfront
Some equity loan products allow borrowers to add conveyancing and other setup costs to the loan balance itself, spreading the expense across monthly repayments instead of paying it as a lump sum at completion. This can make the loan more accessible if cash is tight, but it also means paying interest on those fees for the life of the loan, so it is worth calculating the total cost both ways before deciding.
Why the Details Matter
Because an equity loan is secured against your home, the property serves as collateral: if repayments are missed, the lender can ultimately pursue repossession. That makes it especially important to read the loan terms carefully, understand every fee (conveyancing included), and compare offers from more than one lender before committing. A modest difference in conveyancing or arrangement fees can add up, so treat this research the same way you would compare interest rates.
Practical Steps Before You Apply
Get at least two or three conveyancing quotes before choosing a lender's panel solicitor by default. Ask each solicitor for a full fee schedule, including disbursements like Land Registry charges, so you are comparing like for like. Finally, confirm with the lender whether conveyancing costs can be financed into the loan if you would rather avoid the upfront cash outlay.