Buying a property is exciting but it may also seem a little daunting, so we aim to make the process as easy as possible with our quick step by step guide to buying a property with DBK:
1. What Type of Buyer are you?
- First Time Buyer - This means you have never owned property, land or have never had a title-deed in your name before (anywhere in the world).
- Buy-to-Let Investor - This is a buyer who is purchasing a property to let it out (they may or may not be a homeowner).
- Let-to-Buy - This is a homeowner who is placing their current residential property on rent in order to purchase a new residential property.
- Sell-to-Buy - This is a homeowner selling their current residential property in order to purchase a new one.
2. Organising Finances and Establishing a Budget
It is highly advisable that the necessary financial arrangements are made prior to starting your property search (e.g. Mortgage in Principle). This will ultimately influence your choice of property and allow you to establish an exact budget, thus putting you in a securer position when placing offers. DBK have an experienced in-house Financial Advisor/ Mortgage Broker who can assist with this.
You would need to consider the following:
- Moving costs
- Legal fees
- Stamp duty (STLT) See our Stamp Duty Calculator
- Survey fees
- Mortgage / application/ valuation fees. See our Mortgage Calculator
3. Finding your Ideal Property and Viewings
Searching for a property can be time-consuming and exhausting. Whether or not you have a clear vision in mind you can register with one of our branches in order to discuss your requirements and allow us to take the stress off your shoulders. We will assign one of our experienced team members to personally assist with your search from start to finish.
The following are general requirements that you would need to consider:
- Area - what location would be most suitable for you? (commutable to work or schools)
- Type of property - House, Bungalow, Maisonette or Flat etc.
- How many Bedrooms
- Maximum Budget - The amount you're willing to spend up until if you found your ideal property.
4. Choosing your Solicitor
It is imperative that you appoint a proactive and reputable solicitor as this can severely impact the progression and successful purchase of your property. DBK can assist you with recommendations.
5. Placing Offers
Any offer made on your selected property will be immediately communicated by us to the vendor both verbally and in writing. The vendor would most likely consider the following when deciding whether to accept an offer:
- Chain: Are you dependent on the sale of a property in order to fund this onward purchase?
- Timeframe: What are your target dates? A vendor will consider these depending on their circumstances.
- Proof of Funds: Prior to accepting any offers DBK would need to see proof of finances. How is this purchase being funded? Are you obtaining a mortgage or are you a cash buyer? If purchasing with a mortgage it is highly advisable to have a written agreement in principle.
6. Acceptance of Your Offer
Good News! You can now instruct your appointed solicitor and DBK will issue the Memorandum of Sale, which will confirm the agreed purchase price and it will be sent to all parties involved.
7. Conveyancing outlined
Let's break this down, this is the process whereby your solicitor will be carrying out due diligence on the property you are about to purchase.
- You will be required to put money on account with your solicitor, which will allow your solicitor to open the case file for you.
- From this, your solicitor will then instruct searches from the local council.
- Your solicitor will refer to the draft contracts received from the vendor's solicitor and raise any enquiries on your behalf. Draft contracts will in brief, include title deeds, property information form, fittings and contents form, along with any other relevant documentation.
- If you are purchasing a leasehold property, your solicitor will refer to the management pack which will be sent over by the vendor's solicitor.
8. Survey and Mortgage Offer
If purchasing with a mortgage, along with beginning the conveyancing process you will also need to submit the full mortgage application and arrange for a survey, which would typically be organised by your financial advisor/ broker. The survey will typically inform you of any possible defects and advise on the property's value. Once the survey has been received, the formal mortgage offer will be released to you and your solicitor. At this point DBK will mark the property as SSTC (Sold Subject to Contract).
9. Exchange of Contracts
You're almost there ... Once your solicitor is satisfied with all responses to raised enquiries, and all financial arrangements are in place, both parties will sign contracts, at this point you are required to pay the agreed deposit amount into your solicitors account (typically 10% of the purchase price). Then both parties will come to a mutual agreement on a completion date.
10. Completion Day
Completion is when your solicitor will transfer the final monies to the vendor's solicitor. Once we have confirmation, the keys will then be released to you on the same day.
Congratulations, you are now the new homeowner! It's time to start planning your housewarming party.
