Conveyancers conducting transactions through the Veyo online system due to go live this spring will be charged a flat fee of £20 per transaction, the joint venture behind the project revealed today.
Veyo, being developed by a joint venture between the Law Society and IT services firm Mastek UK, will bring together electronically all the processes, checks and documentation prepared and undertaken by solicitors and licensed conveyancers in the sale and purchase of residential properties.
The £20 fee will include money laundering searches and conveyancing forms.
The joint venture between The Law Society and Mastek (UK) Ltd is to be launched soon, and will bring together electronically, all the processes, checks and documentation prepared and undertaken by solicitors and licensed conveyancers in the sale and purchase of residential properties. There will also be an administration charge of £50 per user per year, Veyo said.
Announcing the price model, Veyo said that the £20 transaction fee equates to 12 minutes spent during an entire transaction, at an average hourly rate. As the online service is expected to save much more time, 'the £20 transaction fee will be more than self-funding on time savings alone'.
As well as time savings, Veyo will enable most of communication between a conveyancing professional and home movers to take place online, cutting postal costs.
Stefanie van den Haak, commercial director of Veyo, said the 'extremely competitive' fee would ensure Veyo achieves its prime objective of widespread market adoption. 'It is fundamental to our business strategy that Veyo remains an inclusive product whereby no one will be priced out,' she said.
There are no set up fees, no consultancy fees, no hardware costs and no software maintenance costs, Veyo said.
Land Registry figures show that in 2013 there were 1,074,000 residential property transactions in the UK.