Buying a property is a very exciting time, but can also be quite stressful. Here is our guide to help you on your property journey, and equip you with all the information you need so you can make an informed decision.
First up, make sure you are financially ready. If you are looking to buy a property with a mortgage, then the first step is to get pre-approved by a mortgage advisor to determine what you can afford before you start your property search. Our sister company at LL Financial solutions is here to walk you through the whole process.
It is advisable early on to obtain quotes for additional costs, such as legal costs, and Land Transaction Tax (LTT).
You will be liable to pay Land Transaction Tax (LTT) if you are buying a property for more than £225,000.
Here are the rate bands to show you what you will pay if you purchase a property in Wales:
£0 - £225,000 – 0%
£225,001 - £400,000 – 6%
£400,001 - £750,000 – 7.5%
£750,000 - £1,500,000 – 10%
Over £1,500,000 – 10%
Now you can start the search. It is important to have a clear idea of what you’re looking for in a property, such as number of bedrooms, location, and amenities. Then you can register with local estate agents, and property alerts with the portals.
Book some viewings. When you find a property that you’re interested in, you should schedule viewings, this will give you the opportunity to see the property in person and ask any questions you may have.
Making an offer. If you fall in love with the property then make an offer! Your estate agent will help you to negotiate the price and terms of the sale with the seller. Be realistic with the offer if you don’t want to offend the seller by offering too low. It’s important to have your mortgage pre-approval letter and proof of funds available when making an offer.
Offer Accepted. Congratulations you have had your offer accepted, your agent will need to confirm some details regarding ID, solicitors and proof of funding, and then a memorandum of sale will be sent to all parties confirming the transaction.
Your solicitor who will carry out all the necessary legal work and your estate agent will keep everything moving along by liaising with all parties until the property completes.
Book a survey. If you are having a mortgage, your mortgage company will book a survey for the purpose of making sure the property is valued at what you are purchasing it for. However, you may want to have your own survey, there are different surveys available but speak to your agent so they can advise you on your options.
Exchange of contracts. This is where your completion date will be confirmed and you will pay the deposit agreed to the solicitor. You are now legally bound to this property. Time to book removals and sort out utilities.
Moving Day. The solicitors will complete the final works and transfer funds. The keys can then be released and can be collected from either the estate agent, or at the property. Congratulations you are now the legal owner.