The Tug-of-War Between Fee for Service and Value in Conveyancing

The conveyancing industry, like many professional services, faces a persistent challenge: the balance between fees charged and the value provided. This tug-of-war is not just about pricing; it’s about how we, as practitioners, perceive our worth and how our clients perceive the services we deliver. In this delicate interplay, the trend of undercharging—often driven by competition and market pressures—is proving detrimental to the industry as a whole. Let’s delve into why this matters and how it impacts not only practitioners but also the clients we aim to serve.

The "Fee for Service" Dilemma

Fee for service is a fundamental concept in professional industries. It ensures that practitioners are fairly compensated for their time, expertise, and the responsibilities they shoulder. In conveyancing, however, this concept is often undermined. With the rise of low-cost providers and a race to the bottom in pricing, the focus can shift away from quality to quantity. This approach might seem like a win for clients seeking affordability, but it often comes at a cost—to service quality, to the practitioner’s wellbeing, and ultimately, to the industry’s sustainability.

Undervaluing Expertise Hurts Everyone

Conveyancers bring immense value to their clients. From navigating complex legal frameworks to providing peace of mind during significant life transactions, our role is far from transactional. When practitioners undercharge, they risk creating a false perception that conveyancing is a simple, "cottage or administrative" service, as I often hear it refereed to. This not only devalues the profession but also diminishes the client’s understanding of the expertise, time, and care involved.

Moreover, undercharging often forces practitioners to take on higher volumes of work just to make ends meet. This can lead to burnout, reduced service quality, and mistakes that could otherwise be avoided. Clients may initially benefit from lower fees but may pay the price in delays, miscommunications, or even costly errors. Ultimately, a healthy, well-compensated industry is in the best interest of all stakeholders.

The "Value Conversation"

It’s time to shift the conversation from fees to value. Practitioners must confidently articulate what sets their services apart—whether it’s personalised guidance, extensive experience, or a track record of seamless settlements. Highlighting the risks clients avoid and the benefits they gain by working with a qualified conveyancer helps frame the true worth of our services.

Clients need to understand that the fee they pay reflects not just the immediate transaction but also the expertise and assurance that come with it. This involves educating clients and reinforcing the idea that cheaper isn’t always better, especially when it comes to something as significant as property transactions.

Building an Industry of Value

Undercharging may seem like a short-term strategy to attract business, but it’s a long-term detriment to the industry. By collectively embracing fair pricing, conveyancers can:

• Ensure Sustainable Practices: Fair fees enable practitioners to invest in their businesses, professional development, and tools to better serve clients.
• Maintain High Standards: Adequate compensation allows for manageable workloads, which in turn leads to better service quality and fewer errors.
• Elevate the Profession: By charging fees that reflect the true value of our services, we reinforce the importance and professionalism of conveyancing.

Walking Beside Our Clients and Each Other

As conveyancers, we pride ourselves on walking beside our clients during critical life transitions. To continue doing so effectively, we must also stand together as an industry. That means recognising the value we bring and not being afraid to charge for it. By fostering a culture of mutual respect—both within the profession and with our clients—we can create a more sustainable and respected industry.

While this is not a new situation, the time has come to ensure the conversation is front of mind, we must stop undercutting ourselves and start championing the expertise and dedication we provide. Let’s lead with value, stand firm on fair pricing, and ensure that conveyancing remains a trusted service for years to come.