The ten step guide to buying a home
We are at the beginning of 2017 and it is very clear that across the UK the demand for home ownership is still very high. We have always been a nation who has aspired to home ownership and that has not changed of late. It was announced recently that the amount of first-time buyer borrowing hit the highest levels since records began.
It is all good and well aspiring to be a home owner, but what does the actual process of buying a home involve? Thanks to our newly formed partnership with the Mortgage Advice Bureau we can tell you. Here is your step by step guide to purchasing a home:
Speak to a financial adviser
Speak to a financial adviser to get a full breakdown of the costs of buying, including affordability, advice/recommendations and budget planning.
Arrange a Mortgage in Principle
Arrange for a Mortgage in Principle from your lender. This is a statement to say that in principle, they will lend you a certain amount of money to buy a house.
Register with an estate agent
Now you can register with agents and start viewing properties. Now you are ready and in a position to buy.
Negotiate a price
Once you’ve found a property, you can start negotiating a price.
Appoint a solicitor
When a price has been agreed, you can find a solicitor. The solicitor needs an upfront fee to start the searches, and it can take 8-12 weeks to complete these.
Keep in touch with your broker
Keep your broker in the loop throughout the process. Let them know once the offer has been agreed and they’ll complete a mortgage application, providing you with a full mortgage and protection solution.
Submitting the mortgage application
Now your mortgage application has been submitted, it can typically take 3-4 weeks to produce the full mortgage offer.
Choose the type of house survey
You can now choose your survey type. Your lender will carry out a free survey confirming the value of the property, however you can opt for additional surveys that give a more thorough inspection of the property and its condition:
a. Homebuyer survey
b. Full structural survey
Mortgage sign off
Your solicitor will sign off your mortgage offer as well as all searches and enquiries, keeping you informed along the way.
Exchange and completion
Exchange and completion dates can be set, once the contracts have been signed.
a. Exchange is when you legally own the property and a deposit is needed.
b. Completion is when you are able to collect the keys, after the deposit, stamp duty and legal fees have been paid. This is typically 7 days after exchange.
Your home may be repossessed if you do not keep up repayments on your mortgage. There will be a fee for mortgage advice. The actual amount you pay will depend upon your circumstances. The fee is up to 1% but a typical fee is 0.3% of the amount borrowed.
Owner and Managing Director of homes4u Carolyn Mellor commented, “We are very happy to be able to add yet another layer to the service we provide for our clients. By partnering with the Mortgage Advice Bureau who have unrivaled access to over 100 lenders and 11,000 mortgage deals, we will be able to help our customers achieve on average a 10-20% higher borrowing amount than if they were to go direct.”
Are you looking to buy a home? Whether it is your first time or you have bought before take a look our property search pages where you can view all our current availability. If you would like to be kept up to date with new instructions and price changes simply register in our members area or contact our friendly team in branch. Or if you simply are looking for some more advice on mortgages and the home buying process pop into the Manchester city centre office and speak to Mo.
Mortgage Advice Bureau is a trading name of TIME Mortgage Experts Limited which is an appointed representative of Mortgage Advice Bureau Limited and Mortgage Advice Bureau (Derby) Limited which are authorised and regulated by the Financial Conduct Authority. TIME Mortgage Experts Limited. Registered Office: C/O Dpc Ltd, Vernon Road, Stoke-On-Trent, Staffordshire, ST4 2QY. Registered in England Number: 08124266