Paying Legal costs of vendor
I enter into negotiations to purchase a property marketed for sale at £415,000. The outcome is that the vendor lowers the price to £400,000 and I agree to pay his legal costs. On completion I pay the £400,000 plus his legal costs of £7,000 (including VAT).
The chargeable consideration for this transaction is £407,000 (purchase price plus vendor’s legal costs). SDLT is charged on what has been given for the property.