The Home Buyer's Guide

Step 1: Work out your budget

Start with what you can put down as a deposit and what you can comfortably afford each month. Then add the one-off costs of buying, which are easy to underestimate.

• Deposit
• Stamp Duty Land Tax in England and Northern Ireland, or the equivalent tax in Scotland and Wales
• Conveyancing fees and searches
• Survey
• Mortgage arrangement and valuation fees
• Removals and initial furnishing

Worth knowingTax thresholds and reliefs change. Use the calculators on GOV.UK, Revenue Scotland or the Welsh Revenue Authority for a current figure.

Step 2: Get a mortgage agreed in principle

An agreement in principle is a statement from a lender of how much it would be prepared to lend, based on an initial check of your income and credit record. It is not a guaranteed offer, but agents and sellers take buyers who have one more seriously.

A mortgage broker can compare lenders for you and point you to those most likely to accept your circumstances.

Step 3: Search for a property

Decide what you cannot compromise on and what you can. Location, commute, schools, outside space and the condition of the property all trade off against price.

Register with local estate agents as well as searching online. Agents often know about homes before they are advertised.

Step 4: View properties

View at different times of day and take your time. Look past the furnishings to the things that are expensive to change.

• Signs of damp, cracks or a sagging roofline
• Age of the boiler, wiring and windows
• Water pressure and mobile signal
• Noise, parking and the feel of the street
• For leasehold homes: lease length, ground rent and service charge

Step 5: Make an offer

Offers are made through the estate agent, normally “subject to contract and survey”. Base yours on recent sold prices nearby and on your own position: being chain-free or having finance arranged strengthens it.

In England, Wales and Northern Ireland an accepted offer is not legally binding until contracts are exchanged. The system in Scotland is different, with offers made through a solicitor and becoming binding earlier.

Step 6: Instruct a conveyancer

Your solicitor or licensed conveyancer handles the legal work: checking the title, carrying out searches, raising enquiries with the seller’s side and preparing the contract. Instruct one as soon as your offer is accepted and respond quickly to their requests, as delays here are the most common reason sales drag on.

Step 7: Arrange a survey

The lender’s valuation is for the lender’s benefit and is not a survey. Commission your own from a qualified surveyor, choosing a level of inspection that suits the age and condition of the home.

If the survey finds significant problems you can ask the seller to fix them, renegotiate the price or, if necessary, withdraw.

Step 8: Finalise your mortgage offer

Submit your full application once your offer on the property is accepted. The lender will value the property and verify your documents before issuing a formal mortgage offer, which is valid for a limited period. Read the conditions carefully and check the completion timetable fits within it.

Step 9: Exchange contracts

When both sides are ready, the conveyancers exchange signed contracts and you pay the deposit. From this point the purchase is legally binding and a completion date is fixed. Arrange buildings insurance to start from exchange, as you are normally responsible for the property from then.

Step 10: Complete and move in

On completion day your conveyancer sends the balance of the money to the seller’s conveyancer. Once it arrives, the agent releases the keys and the home is yours. Your conveyancer then pays any tax due and registers you as the new owner.

Worth knowingTake meter readings on the day you move in and tell utility providers, the council and your bank about your new address.