Conveyancing is an essential part of buying or selling a house.
Whichever side of the transaction you’re on, you need an excellent solicitor in your corner.
It can make a huge difference.
So, if your estate agent recommends a solicitor, should you use them?
We’ve answered this question below.
Will my estate agent always recommend a solicitor?
Not always. Some estate agents recommend a solicitor, while others do not.
Do some estate agents have an in-house solicitor?
Some estate agents do have an in-house solicitor.
It depends on the company. In general, larger estate agent companies are more likely to have their own in-house solicitors.
And sometimes you agree to use their in-house solicitor once you sign a contract with them. This should be clear to you before signing the contract.
Why do estate agents recommend a solicitor?
There are several reasons why your estate agent might recommend a solicitor.
1. Good service
It could be because they know the solicitor reliably provides a good service.
They may have worked with them many times before and are comfortable with the quality and speed of their service.
2. Referral fee
A second explanation is that the estate agent receives a referral fee from the solicitor.
This is a financial incentive for the estate agency. This doesn’t necessarily conflict with the above point about good service.
After all, the estate agent might genuinely believe the referral is a win-win for all parties involved.
3. Insight for estate agent
Some estate agents recommend solicitors because they provide valuable details about your deal, including insights into your:
- Finances
- Potential legal issues
- Relative strength of your negotiating position.
And more.
This might involve you waiving your right to privacy. So, your estate agent will usually state this explicitly if that’s the case.
Am I legally required to use the estate agent my solicitor recommends?
No. You are not legally required to use the estate agent your solicitor recommends.
Sometimes, an estate agency will ask you to sign an agreement with them when you first agree to use them to sell your house.
This might include a clause which states that you’ll use the solicitor they recommend. This is common with online estate agencies. Some high street estate agencies do it too.
You should be made aware of this before you sign the contract. If you sign it without the estate agent telling you this, the latter is likely untrustworthy.
Other contract issues to consider
However, you should also be diligent when reading the paperwork before you sign it.
If your estate agent puts extreme pressure on you to use their solicitor, then you should avoid using them. Wait for your contract to expire and use another estate agency.
If you can’t leave the contract, you might need an independent legal expert to help you get out of it.
You can submit a complaint to the following organisations:
- The Solicitor’s Regulation Authority (SRA)
- The Legal Ombudsman.
- The Council for Licensed Conveyancers (CLC).
Advantages of using solicitors recommended by estate agents
Often, your estate agent and solicitor will work well together. This means that your deal might progress faster, which is in everyone’s interest.
The best estate agents often recommend a solicitor as they give the best service.
You could also receive financial benefits for going with the solicitor your estate agent recommends. Sometimes, you will get a discount for using them.
You can avoid the time and hassle involved with finding your own conveyancer.
Disadvantages of using a solicitor recommended by an estate agent
You can’t guarantee that the recommended solicitor will provide the best service.
Recommended solicitors are sometimes more expensive. You might pay more by using this solicitor than would be the case with other firms in your area.
You may feel pressured to go along with the recommended firm.
This can set your house sale journey off on the wrong note and create an awkward atmosphere – especially if there’s a conflict of interest.
Summary: Should you use a solicitor recommended by your estate agent?
Most property experts recommend that you find your own solicitor.
Estate agents sometimes pressure you to use their solicitors, clouding your judgement.
Research and speak to several different professionals yourself. This helps you to make a clear judgement without pressure or time restraints.
Of course, sometimes using the solicitor your estate agent recommends is a positive thing.
But you shouldn’t rely on their recommendation without doing your own research.
It’s best to choose freely and find someone who matches your priorities. If that happens to be the recommended solicitor, then so be it.