Buying a house can seem like one of the most overwhelming things you'll ever do, especially as it only seems to get more and more difficult.

The journey involved in purchasing a property can be smoothed by knowing how the process works which this blog outlines.

1.    Sketch out your timescale

Typically, to buy a property in England, Wales, and Northern Ireland, it will take:

Instantly to four weeks – its complete! You hand over the rest of the money in exchange for keys to your new home, commercial or other sort of property.

Six weeks to eight months – to research the area, find a property, search websites and put in an offer.

Four to 12 weeks – your offer is accepted, get a property survey to check the property’s condition, secure funding.

However, these are general time frames depending on lots of other considerations for example lenders and solicitors’ timescales all differ and problems with the conveyancing might also occur and cause further delays.

2.    Make the right offer

Don't spend more than you can afford. Don't over-extend yourself – as there are a lot of additional costs you'll need to cover. Making the right offer for you is crucial to ensure you’ll be able to live comfortably and keep up with repayments. Buying a house isn't just about paying it off its about creating a home! Keep in mind the costs of running the house such as gas and electric bills. Consider the size and insulation of a house, and how this will affect your bills, when you’re making your offer.

3.    Finding the best mortgage for you

As an agreement in principle with your lender, is usually only valid for 30 or 90 days (depending on the lender), if your search took a while, your mortgage offer may have expired.

However, you shouldn't always return to the first lender because the variety of mortgage products available changes daily. It's worth quickly checking the market again to see if there’s a better deal. For instance, it will cost you £24,000 extra to secure a 4% offer rather than a 3% deal on a £150,000 repayment mortgage over 25 years.

Here is some more advice we have for those looking for a mortgage:

• Don't simply go to your current bank 

There are many lenders, but the best mortgage rate may not be on offer from your current bank. If you have a good credit score, then other lenders are likely to want you just as much as your current bank.

• Get a customised mortgage illustration.

This will go over every significant aspect of the mortgage and you'll need this later on. Scan, save, and file the document.

Especially since the onset of coronavirus, it might take anywhere from a few weeks to well over a month to receive a mortgage offer once you've selected the mortgage you want and submitted an application, so ensure this is in your timeline.

4.    Get your solicitor to carry out searches for you

Your conveyancing lawyer will conduct the required searches while the lender reviews your mortgage application. The location of your prospective property affects both the searches and the costs. Even though some searches (and therefore costs) are optional, it's best to complete them all, as they check if there are any future planning developments or historical problems in the areas.

Some of them will be required by your mortgage lender, including:

•  Local government searches. See whether there is anything you should be aware of, such as building control difficulties, enforcement activities and local road schemes (costs between £50 and £250).
• Searches and surveys of drains. Verify the sewer connection (should cost between £50 and £100 and drain surveys circa £200 depending on the drain in question).
• Environmental examination. Checks for contamination of the land (around £40)

5. Keep in touch with your solicitor

Unfortunately, numerous factors can extend your timeline such as your seller or their lawyer. Equally, your solicitor may delay the conveyancing process. To accelerate the processing of your papers, contact your solicitor frequently.

Of course, if something goes wrong and you believe the solicitor isn’t doing what you need them to do, keep in mind that you’re paying them; if they fall short of your expectations, consider writing to a senior partner.

6.    Look into the different types of surveys

Three primary survey kinds exist. Depending on the size, location and value of your property, they vary in scope and price (generally, the bigger and more valuable your property is, the more it will cost for a survey).

This will be one of the following types of surveys:

• Homebuyer's report

This, also known as a ‘level two home survey,’ often ranging in price from £500 to £1,000 and is appropriate for traditional homes that are under 50 years old. A homebuyer's report may occasionally be ordered by your mortgage lender at the same time as the standard appraisal.

 

• Full structural survey

This, also referred to as a ‘level three home survey,’ is especially pertinent for older or unusually designed homes. These can cost up to £1,500 and are far more comprehensive, but they are frequently well worth the price. A level 3 home survey can help you negotiate the property's price down.

 

• Snagging survey

Even those purchasing brand-new buildings may still need to pull out their purses and wallets. A snagging survey identifies errors and unfinished work, so you can pressurise the developer to fix them before the project is handed over. Depending on the size of the house, a snagging survey ranges from £400 to £900.

 

Regardless of the type of survey you choose for your property, ensure you understand what’s being checked and what’s not. There are limits to what the surveyor can do. For instance, surveyors should try to gain access to the attic, but they must not damage walls or lift carpets to ascertain the condition of the property unless the seller expressly consents.

For more information on buying your first home, get in touch with one of our advisors.

 

Disclaimer: As a mortgage is secured against your property, it could be repossessed if you do not keep up the mortgage repayments.

The purpose of this communication is to provide technical and generic information and should not be interpreted as a personal recommendation or advice.

 

Picture source: https://www.pexels.com/photo/black-handled-key-on-key-hole-101808/