Your Step-By-Step Guide To Buying A Property

You might not believe this, but more adults in the UK own their own home now than did in 2023. As of July last year, 53% of adults owned their own home, compared to 50% the year before. So despite the fact that fewer people are buying houses, the rate of ownership is going up. That means there are a lot of first-time buyers out there, to whom the whole process can seem a little daunting. That’s why we’ve put together this step-by-step guide, covering all of the main points for buying a house. 

Planning

When most people think about buying a house, they immediately jump to looking around properties and ‘ooo’ing and ‘ahh’ing at the lovely décor. But actually, it takes quite a while to get to that stage of the process. The very first thing you need to do is decide if buying a home is the right move for you. While over 86% of people in the UK really want to own their own home, it just isn’t a practical step for some people, and they tend to end up with big regrets later on. You also need to decide if you can afford to buy a home – while the ongoing payments of many mortgages make it cheaper than rented accommodation, the hefty chunk of cash you have to raise for a deposit is a big cost barrier. If you already own a home, you also need to decide if you want to sell that, and put those wheels in motion if you do. Remember, if you don’t sell your existing home before you buy a new one, you’ll be hit with some pretty nasty stamp duty charges.

Finances

Buying a house is the single biggest purchase 99% of people will make in their lifetime, so making sure all of your finances are in order is essential before you go any further. Sit down with your finances and work out what your budget is. There are housing options to suit almost any budget, from 4 bed houses to flats or mobile homes, so it’s a case of working out what’s right for you. Check out what your credit score is like before applying for a mortgage and do your best to clear any debts in your name – it all helps when it comes to getting approval for the mortgage you want. Now decide what sum of money you will need for a deposit that fits your budget and start saving! Don’t forget to plan in the conveyancing and mortgage fees, and remember, the bigger the cash deposit you can put down, the less money you will owe the bank and the quicker you will own your home. 

House Hunting

When you think you’re ready, apply for a mortgage. This might seem a bit backwards, but it’s the single biggest mistake new home buyers make. You need to get your mortgage arranged before you set your heart on a house, simply because mortgage applications take a lot of time and aren’t always successful. Once you have a firm approval for a mortgage, you know exactly what your budget is and can look at homes in your price range. If that isn’t enough to convince you, imagine how heart-breaking it would be to fall in love with a house and apply for your mortgage, only to have it snapped up from under your nose by a savvy buyer who can make the sale quicker while you’re stuck behind the red tape. 

Now comes the exciting part! You’ve seen hundreds of houses online, and now it’s time to see them in the flesh. Talk to an estate agent and arrange some viewings. Make sure you take photos if you can and make notes on all of the houses you visit, as they can start to blur together in the house hunting phase and this helps keep them separate. It’s worth being registered with a few estate agents at this stage, because they will be able to recommend properties to you that may not have reached the main market yet. 

Offers and Paperwork

It’s happened! You’ve found the one you want to buy and are ready to put your money where your mouth is and make an offer. Work out your offer and inform the estate agent dealing with the sale, and you can start the corporate cogs in motion. There is a lot of red tape involved in house buying to ensure everyone in the process is happy, so don’t expect to be moving in the next day. Solicitors or conveyancers will suggest surveys, draw up contracts and do a lot of the paperwork for you. This is where a lot of those fees we mentioned earlier come in. With some mortgages these fees will be rolled into the total amount you’re borrowing, whereas with others they will be due separately. It’s always worth paying for an independent surveyor to do a building survey on top of just the valuation the Lender offers, purely because a valuation is far less meticulous and your surveyor will be acting in your best interests rather than those of the Lender. After all of this, you will be asked to pay your deposit and exchange contracts with the seller. It is this exchange of contracts that binds both seller and buyer to the deal. From there, it’s all finalising arrangements, completing the sale and taking possession of your new home. 

Of course, this is just a very brief overview of the steps involved in buying a home. Each step has its own complicated set of processes, and many of them will require you to bring in outside advice or help. At Hudson Conveyancing, our job is to make this process as simple and painless as possible for you, while provide you with all the information you need to make the best decision for you. If you need more advice on the house buying process, just give us call for your free, no-obligation consultation.