The Home Buying Process

What Actually Happens From Offer to Completion

Buying a home is one of the biggest financial decisions most people will ever make, and yet the process itself is something a lot of buyers go into without a clear picture of what's actually involved or how long it's likely to take. I've walked a great many clients through it, and the ones who find it least stressful are almost always the ones who understood what to expect before they started, so here's a straightforward guide to what the process looks like from beginning to end.

Get Your Mortgage in Principle Before You Start Viewing

This is the piece of advice I give every single buyer I speak to before they've done anything else, and it's worth explaining why it matters as much as it does. A mortgage in principle is a conditional agreement from a lender confirming how much they're prepared to lend you, based on an initial assessment of your income, outgoings and credit profile. It isn't a full mortgage offer, but it tells you what your budget actually is rather than what you think it might be, and it tells estate agents and sellers that you're a serious, proceedable buyer.

In a competitive market, being able to demonstrate that you have your finances in order can make a real difference to whether your offer is accepted over someone else's, particularly where a seller has a choice between multiple buyers. It also means that when you find the right property, you're not scrambling to get financial paperwork together while the seller is waiting for confirmation that you can actually proceed.

Making an Offer

Once you've found a property you want to buy, you'll make an offer through the estate agent. The asking price is a starting point rather than a fixed figure, and the agent will communicate your offer to the seller. If it's accepted, the property will typically be marked as sold subject to contract, but it's important to understand what that phrase actually means in practice: at this stage, nothing is legally binding, and either party can walk away.

This is where the issue of gazumping can arise. Gazumping is when a seller accepts a higher offer from another buyer after already accepting yours, and it's entirely legal in England and Wales because contracts are not exchanged at the point an offer is accepted. It's frustrating and it happens, which is another reason why moving quickly through the process once an offer is accepted is in your interest. Instructing a solicitor promptly, responding to requests for information without delay, and keeping the momentum going all reduce the window in which gazumping can occur.

Surveys, Searches and the Legal Process

Once your offer is accepted, your solicitor will begin the conveyancing process, which includes carrying out searches on the property, reviewing the contract and raising any queries with the seller's solicitor. You'll also need to arrange a survey, the type of which will depend on the age and condition of the property, and your mortgage lender will carry out their own valuation.

This stage is where most of the time in the buying process is spent, and it's not unusual for it to take anywhere from eight to twelve weeks, sometimes longer if the chain is complex or if searches or surveys raise issues that need to be resolved.

Exchange and Completion

Exchange of contracts is the point at which the sale becomes legally binding. Both parties sign identical contracts, and a completion date is agreed. At exchange, the buyer pays their deposit, and from this point withdrawing from the sale has significant financial consequences for either party.

Completion is the day the remaining funds are transferred, the legal title passes to you, and you collect the keys. It's also the day your mortgage begins.

If you're thinking about buying and want to get your mortgage in principle sorted before you start viewing, I'd love to help. Get in touch and we'll get the process started properly.

Barry, The Mortgage Network - Helping you make confident decisions and plan a mortgage that works for you.

Your home may be repossessed if you do not keep up repayments on your mortgage.