Buying a property can be a daunting experience with lots of stages to the process, from arranging viewings, to sorting a mortgage, making an offer and using a solicitor. To help you through, we’ve pulled together a handy guide to help you on your home buying journey.
Organising Your Finance
The best place to start is to work out the amount you can afford to spend on your new home. How much money you have in savings, how much you can borrow and the equity in your current home if you are also selling.
One of our staff will be happy to point you in the right direction and can help guide you through this process. Here’s a handy list of some of the costs you will need to consider:
- valuation fees
- survey fees
- Stamp Duty
- Land registration fees
- Local authority searches
- Mortgage lender fees (if any)
- Removal costs
- Final bills for your utilities at you current home
Making an offer
When you have found your perfect home. We will help you through making an offer. Ideally we would need a mortgage offer in principle at this stage.
Once your offer has been agreed, we will need your solicitors details. Butterfly Properties have strong working relationship with several solicitors who we would recommend.
The legal bit
Your sale becomes legally binding on both sides when contracts have been exchanged through your solicitor. Upon exchange, a completion date will be set by mutual agreement,
The time it takes for all the legal work associated with buying your property can vary, but we always ensure that it will be pushed forward in a timescale that all parties involved agree with.
The next step is to instruct your solicitor to draw up a contract which both you and the seller will sign once all necessary conveyancing is complete:
Local Searches: These are enquiries made to the local authority about any matters which affect the property which involve the local authority, such as whether there is a compulsory purchase order on the property. Local searches also include questions about any proposed changes or development in the area that might affect the property such as roads, housing, shops. During the local search, the local Land Charges Register is also checked. This gives information about any matter which affects the property such as tree preservation orders, if it is a listed building or in a conservation area; and Enquiries made to the seller by the solicitor. These are a set of standard questions about the property, boundaries, neighbour disputes and fixtures and fittings that will remain in the property. There may also be additional questions that the solicitor or licensed conveyancer thinks are necessary, such as the transferability of guarantees for any work done on the house, for example, a damp proof course; and from the Land Registry
Arranging to pay the deposit
Whilst the solicitor is making the enquiries, you should sort out how you will pay the deposit that has to be made when you purchase your new home.
If you are also selling a house, it is usually possible to use the equity on the property being sold down as the deposit on the property you are buying.
Insuring the property – You should make sure that buildings insurance is arranged from the date of exchange, because once contracts have been exchanged you are responsible for the property.
The final contract between you and the seller is prepared when:
- the solicitor and you are satisfied with the final outcome of all the enquiries
- any surveyor’s report has been received and any necessary action taken
- the formal mortgage offer has been received
- arrangements about the payment of the deposit have been made
- the date of completion has been agreed.
You and the seller each have a copy of the final contract which you must sign. These signed contracts are then exchanged.
You should make arrangements for the supply of gas, electricity and telephone service and make sure that the seller is arranging for final meter readings to be made.
Butterfly Properties will get a call to allow us to release keys. This is the moment you have been waiting for.
- Your mortgage lender releases the money
- The deeds to the property are handed over to your solicitor
- The seller must hand over the keys and leave the property by an agreed time.