The Mortgage Process

How to buy a house

Click here to download this page as a leaflet.

If you are a first time buyer, you may not know how the mortgage process works. To give you some idea of the steps involved in buying a house, we have set this out for you below:

• Work out how much you can afford each month
  Why not use our mortgage calculator?
  
• Choose your mortgage type
  The main two types of mortgage are the repayment mortgage and the interest only mortgage.
  
• Choose the options
  There are many different mortgage options. These can be such as capped mortgages, tracker mortgages, or fixed rate mortgages. You can find more options in this section.
  
• Get advice from a mortgage professional
  Why not contact us at Woodruff Financial Planning - we have access to all the major mortgage lenders and can choose from over 7000 mortgage products. We should be able to find the best deal for your circumstances.
  
• Get an agreement in principle
  This will be done via a short form which a lender will approve based on a preliminary credit check. This can then be used to demonstrate to estate agents that you should have the necessary funds in place.
  
• Find a house and make an offer
  Most people do this through an estate agent, but you can do a lot of the research online.
  
• Do a survey and valuation
  Your lender will require a basic survey for about £250- £400 that will point out major defects in a property; however, we recommend that you take a Homebuyers report or a full structural survey for about £450-£800, which will look into more detail on the structure of the property and explain any risks to you. Find a surveyor by clicking on this link.
  
• Appoint a solicitor
  A solicitor will be needed to complete the legal side of things such as transferring ownership of the property, or performing searches on the land (to check that a motorway is not planned through your back garden, for example). We have links with online lawyers who can offer a significant reduction to the cost of legal services. Why not contact us if you need a lawyer. We can offer conveyancing at very competitive rates.
  
• Your offer is accepted
  Once your offer is accepted, your house is still subject to contracts being exchanged. You may have to pay a deposit at this stage.
  
• Complete your mortgage application
  
• Exchange contracts
  At this point you are legally bound to complete the sale. A deposit is normal at this stage.
  
• Completion
  The balance of the sale is paid, and you may move into your new home!
  
• Pay Stamp Duty
  The buyer is responsible for paying stamp duty (a tax on property ownership) on completion.
  Some areas are designated as stamp duty free zones. To find out if your area qualifies, go to the Inland Revenue Stamp Duty Site and enter your postcode.

For more information on the mortgage process, please contact us.

Click here to download this page as a leaflet.

Your home is at risk if you do not keep up repayments on a mortgage or other loan secured on it.