Being a first-time buyer in the UK can feel overwhelming.
With so many home ownership routes to explore, it’s often difficult knowing which one is right for you, and even harder to understand each step of the process.
From selecting the most suitable property to arranging a mortgage, working with a solicitor, and handling the post-completion administration, each stage of the process is just as important as the next when it comes to securing your new home.
Gaining a clearer picture of the typical timeline and what to expect can make the journey to buying your first home more predictable and manageable, helping to minimise stress and avoid unexpected issues along the way.
Jump to:
- What are the benefits of being a first-time buyer?
- How to buy your first home: a step-by-step guide
– Arrange mortgage
-Select property
– Make offer
– Appoint solicitor
– Contract and deadline issued
– Exchange contracts and pay deposit
– Collect the keys and move in
– Post-completion details - Why make your first home an Eaton Homes property?
- FAQs
What are the benefits of being a first-time buyer?
Access to schemes: Various easier and more affordable routes to home ownership exist for first-time buyers, including the First Homes scheme, Lifetime ISA (LISA), Mortgage Guarantee Scheme, and Shared Ownership.
No property chain: As a first-time buyer, you’re not reliant on selling your existing property to afford your new home. For sellers, this makes you a more attractive option as you can move faster and with more certainty.
Strong negotiation position: First-time buyers often have a strong negotiation position, as their ability to move quickly can make sellers more willing to accept lower offers.
Exclusive mortgage rates: Special mortgage rates with reduced interest rates are often available to first-time buyers, helping to lower overall borrowing costs.
Relief from stamp duty: If you’re a first-time buyer, you may be eligible for Stamp Duty Land Tax (SDLT) relief.
In contrast, existing homeowners are required to pay SDLT at standard rates, typically ranging from 2% to 5% depending on the property’s value.
How to buy your first home: a step-by-step guide
While the purchasing process varies slightly depending on whether you opt for a new-build, off-plan, or older property, it tends to follow the key stages outlined below.
1. Arrange mortgage
Unless you’re a cash buyer, which is unlikely for first-time buyers who haven’t had the opportunity to build up equity in a previous property, you’ll need to finance your new home with a mortgage lender.
Mortgage advisors can help you to explore all your financial options as a first-time buyer, whether that’s a discounted new-build property or exclusive deals not available to the public.
Swift completion of the required paperwork also ensures a smoother, faster buying process, so it’s important to stay in close contact with your advisor throughout this process.
This is especially true for purchasing new-build and off-plan properties as mortgage offers typically expire after six months. If your offer expires before exchanging contracts, you’ll need an extension or re-approval.
You should also obtain an Agreement in Principle (AIP) as this can give you a more accurate idea of the location, size, type of property you can afford.
2. Select property
Before you can purchase a property, you’ll need to find one that meets your specific needs. Whether you’re interested in a modern new-build, characterful older property, or even an off-plan plot in a new, sought-after area, there are plenty of options to explore.
New-build homes also benefit from show homes and marketing suites, providing prospective buyers with a more accurate idea of how the property might look and feel when finished.
However, new-build or not, reviewing the floor plans, brochures, and specification of each property you’re interested in can help you to determine which one is right for you.
3. Make offer
Fallen in love with a property? You’ll need to make an offer and, if it’s accepted (fingers crossed!), you can either reserve it or request the property is taken off the market.
Reservations (with a typical fee of between £500-£5,000) are commonplace for new-build developments, often being used to secure the property for 28 days while the contracts are prepared.
In the case of older properties, you should request that the estate agent or seller takes the property off the market or labels the listing as ‘Sold STC’ (Sold Subject to Contract).
This helps to reduce the risk of gazumping – where a seller accepts a higher offer for the property from another buyer after they’ve already accepted your offer!
4. Appoint solicitor
You’ll need to hire a solicitor or conveyancer to look after the legal side of the purchase. To do this, you’ll need to supply them with your ID, contract paperwork, exchange of contracts deadline, and evidence of funding.
To ensure you’re making an informed decision, the solicitor will conduct a variety of property searches, such as local authority, environmental, and water and drainage searches. They’ll also review planning permissions, restrictive covenants, and building warranties for new-build and off-plan properties.
While your solicitor carries out legal searches, we recommend arranging a property survey. This can help you to assess the condition of the home you intend to buy and avoid unexpected costs.
Most conventional properties in good condition should be inspected as part of a RICS Home Survey Level 2 (previously known as a Homebuyer Report), while new builds will undergo a snagging as part of the build process.
5. Contract and deadline issued
If you’ve opted for a new-build or off-plan property, the developer’s conveyancer will provide you with a contract and a deadline (or estimated completion date) to exchange contracts. This deadline is usually within 28 days of reserving the property.
6. Exchange contracts and pay deposit
With a mortgage arrangement in place and the searches complete, you’ll be ready to exchange contracts (this is when contracts are signed and exchanged between the buyer and seller).
7. Collect the keys and move in
With everything in place, you can simply arrange a date and time to pick up the keys and move in!
8. Post-completion details
After completing, your solicitor will register the property with Land Registry. You should also keep your completion records and warranty documentation (if applicable) in a safe, secure place for future reference.
Why make your first home an Eaton Homes property?
From the moment you step into your home, we want you to feel happy, comfortable, and eager to start your new life. And that’s exactly what you’ll get with an Eaton Homes home.
We pride ourselves on delivering high-quality homes that deliver on value for money, encourage community connection, and meet your exacting expectations as standard – whether that’s superfast broadband or high-spec insulation.
To find your very first home in the heart of the Cheshire countryside, please feel free to explore the new-build and off-plan properties currently available at our Beeston development in Cheshire.
With a show home and marketing suite, why not arrange a viewing today?
Give us a call on: 01829 824044
Email your enquiry to: info@eatonhomes.co.uk
FAQs
Do first-time buyers pay Stamp Duty Land Tax?
While some first-time buyers are eligible for SDLT relief, others may still be required to pay SDLT.
How long does the buying process take?
While buying a home takes five months on average in the UK, the timeframe varies depending on the seller, buyer, and property. For first-time buyers purchasing a new build, the process is often quicker as neither party is part of a property chain.
Do you need a survey?
For new build properties, surveys are often not necessary. Typically, surveys are more useful for those interested in purchasing an older property, as they can help to identify any issues that could impact the value of the property or involve costly repairs.
What deposit do you need?
As every lender and buyer is different, you should speak to a mortgage advisor about your deposit as they can give you a clearer idea of your affordability and the offers available to you.
Can you get a mortgage with no deposit?
Yes, it’s possible to get a first-time buyer mortgage with no deposit. However, only selected lenders offer this option, and you may need to use a family guarantor, family deposit scheme, or another specialist mortgage product to secure a property in this way.
What are the available schemes for first-time buyers?
There are various schemes and initiatives designed to support first-time buyers in the UK, including:
- First Homes scheme – a government scheme which offers new-build homes at a discount.
- Lifetime ISA (LISA) – a government savings account designed to help the account holder buy their first home or save for later life.
- Mortgage Guarantee Scheme – a government scheme that ensures consistent availability of 95% loan-to-value mortgage products.
- Shared Ownership – a government scheme that involves purchasing a share of a home and paying rent on the remaining share to a landlord.
What is a reservation fee?
A reservation fee is a specified sum of money (usually £500-£5,000) which is paid to the developer to take a new-build property off the market while contracts are prepared.
This cost is usually deducted from the completion statement, but may not be refundable if you decide not to go through with the purchase.
Is a credit score important?
Yes, your credit score is important for helping lenders accurately assess your reliability as a borrower. The higher the credit score, the more likely you are to secure a mortgage with a favourable interest rate.
For more guidance, see the full first-time buyer guide or our Wrenbury homes are ideal for first-time buyers.
