Essential Steps For First-Time Buyers Entering The Property Market

Get Your Deposit And Budget Straight First

Before you view a single property, work out what you can genuinely afford. Most lenders want a deposit of at least 5%, but 10% typically unlocks better rates, and 15–20% better still. On a £250,000 home that is £12,500 at the minimum, or £50,000 if you can stretch. The deposit is only part of the picture, though. Budget for everything that sits alongside it:

• Mortgage arrangement and valuation fees — some deals waive these, so compare carefully.
• Legal fees and searches — usually £1,200 to £2,000 including disbursements.
• Survey — from around £400 for a basic report, £700 or more for a full building survey.
• Stamp duty — first-time buyer relief has applied to purchases up to £500,000, with no duty on the first £300,000, though thresholds do change, so check the current position.
• Removals, buildings insurance and a contingency fund — set aside a few thousand pounds for the unglamorous surprises.

A Lifetime ISA adds 25% to what you save, up to £1,000 a year, provided the property is under £450,000 and it is your first home. Read the withdrawal rules before you commit, because taking the money out for anything else carries a penalty.

Understand What A Mortgage Agreement Actually Means

An agreement in principle, sometimes called a decision in principle, is a lender's initial nod based on a soft credit check and the figures you give them. It is not a mortgage offer and it is not a guarantee. Estate agents often want to see one before they take your offer seriously, so getting one early is sensible — just remember most last between 30 and 90 days.

When you apply formally, the lender verifies income, outgoings, credit history and the property itself. They will instruct their own valuation, which protects them rather than you. It tells the lender the property is broadly worth what you are paying. It tells you nothing useful about the roof, the wiring or the damp patch behind the wardrobe.

Two things to sort before you apply: a clean credit file, and your paperwork in one place. Payslips, P60s, bank statements, proof of deposit and identification. Self-employed buyers generally need two to three years of accounts or tax returns.

Choose The Right Survey

A mortgage valuation is not a survey. Commission your own, and commission it before you exchange contracts. There are three main levels:

• Level 1 (Condition Report) — a basic overview of condition, suitable for modern, conventional homes in good order.
• Level 2 (Homebuyer Report) — the most common choice. Covers visible defects, advises on repairs, and includes a market valuation and a reinstatement cost for insurance purposes.
• Level 3 (Building Survey) — a detailed inspection for older properties, unusual construction, or anything you plan to renovate. Essential for period homes, thatched roofs or signs of structural movement.

Ask the surveyor to quote for a valuation at the same time; combining them often costs less. If the survey flags something serious, you can renegotiate the price, ask the seller to put it right, or walk away. That is far cheaper than discovering the problem after completion.

Local Searches And Conveyancing Checks

Your solicitor will order searches that reveal what the property's paperwork cannot. These typically include:

• Local authority search — planning permissions, building regulations sign-off, road adoption, and whether the property sits in a conservation area.
• Drainage and water search — confirms connection to mains services and who maintains them.
• Environmental search — flood risk, contaminated land, and subsidence from former mining or landfill.
• Chancel repair liability — a historic obligation that can require owners to help fund church repairs.

If you are buying leasehold, your solicitor must also check the lease length, ground rent, service charges and any major works planned for the building. A lease with under 80 years remaining is harder to mortgage and expensive to extend. Read the management pack properly — it is the closest thing a flat has to a service history.

Making The Offer And Managing The Gap

Put your offer in writing and confirm what is included: white goods, curtains, the garden shed. Once accepted, instruct your solicitor straight away and ask the agent to take the property off the market. Nothing is legally binding until contracts are exchanged, so either side can walk away before then.

Keep your mortgage offer valid — most run for six months — and chase everyone politely but persistently. A typical purchase takes eight to twelve weeks from offer to keys. Chase the searches, chase the management pack, chase the enquiries. Indemnity policies can solve some problems cheaply; others deserve a hard conversation about price.

Finally, arrange buildings insurance from the day of exchange, not completion. That is the moment the risk passes to you, and a burst pipe the week before you move in is not a story you want to tell.