If you’re buying or selling a property, you’ll usually receive a quote from your conveyancing solicitor that includes both legal fees and disbursements. While legal fees are fairly self-explanatory, disbursements are often less clear.

In this guide, we explain what disbursements are, what they cover, and why they are an important part of the conveyancing process.

What are disbursements?

Disbursements are payments your solicitor makes to third parties on your behalf as part of your property transaction.

These costs are not charged by your solicitor for their work. Instead, they are essential expenses required to progress your transaction, and your solicitor simply pays them for you and then reclaims the exact cost from you.

In short:

  • Legal fees = what your solicitor charges for their time and expertise
  • Disbursements = third-party costs necessary to complete the transaction

Why do disbursements exist?

Property transactions involve several external organisations, such as HM Land Registry, local councils, lenders, and search providers.

Disbursements are required to:

  • Carry out checks on the property
  • Ensure legal compliance
  • Register ownership correctly
  • Transfer funds securely

Without these steps, your transaction would either be incomplete or carry significant legal risk.

Common examples of conveyancing disbursements

The exact disbursements you pay will depend on whether you are buying or selling, and the type of property involved. Buyers typically incur more.

Here are some of the most common examples:

1. Property searches

Your solicitor will carry out searches to investigate the property and identify any risks.

Typical searches include:

  • Local authority search (planning, restrictions, road schemes)
  • Environmental search (flood risk, contamination, subsidence)
  • Water and drainage search (connection to mains water and sewer)

These are essential to ensure there are no hidden issues affecting the property.

2. HM Land Registry fees

When a property changes ownership, the transaction must be registered with HM Land Registry. A fee is charged based on the value of the property.

3. Stamp Duty Land Tax (SDLT)

If you are buying a property above a certain value, you may need to pay Stamp Duty to HMRC.

This is often the largest disbursement in a purchase.

4. Additional checks and documents

Depending on your circumstances, you may also see:

  • Bankruptcy searches
  • Land Registry title documents
  • Chancel repair liability checks
  • Leasehold management packs (for flats)

When do you pay disbursements?

Disbursements are usually paid at different stages of the transaction:

  • Upfront: for costs incurred at the very beginning of the transaction like searches. Often referred to as ‘money or payment on account’
  • During the transaction: as your solicitor incurs costs
  • On completion: for final payments such as SDLT and Land Registry fees

Your solicitor will normally provide a breakdown at the start so you can budget accordingly.

Are disbursements the same for every transaction?

No, disbursements will vary depending on:

  • Whether you are buying or selling
  • The property value
  • Location (search fees differ between councils)
  • Whether the property is freehold or leasehold

However, most disbursement costs are set by third parties and are broadly similar whichever solicitor you choose.

Are disbursements payable if a transaction falls through?

In many cases, yes.

Even if your transaction does not complete, you may still need to pay for any disbursements already incurred (for example, searches that have already been carried out).

Key things to look out for

When reviewing a conveyancing quote:

  • Make sure disbursements are clearly listed separately
  • Check for any unusual or unclear charges
  • Compare quotes on a like-for-like basis

Some firms may advertise a low fee but include additional costs elsewhere, so understanding disbursements helps you compare accurately.

Final thoughts

Disbursements are an essential part of any property transaction. While they can sometimes seem like “extra” costs, they actually cover vital checks, registrations and payments that ensure your purchase or sale is legally sound.

A good conveyancing solicitor will always:

  • Explain disbursements clearly
  • Provide an upfront estimate
  • Keep you informed of any changes

If you’re unsure about any item listed on your quote, it’s always worth asking for clarification before you proceed.

The content of our site is provided for general information purposes only and does not constitute legal or other professional advice.