Once you've got your savings, you understand the overall cost and have the Mortgage in Principle, you'll need to find a property! A house is a big purchase, so it's important to get it right. Some tips and things to think about are below:
- Websites and applications. There are a lot of advertisements for properties online. I've always used Rightmove and Zoopla. Both advertise property from the majority of estate agents in an area, have easy to use searches and have great mobile phone applications. I find the ability to search an area by drawing a trace on the map particularly useful with both sites and apps. The apps can also be used to track new properties coming onto the market by setting alerts.
- Speak with a local estate agent. A local estate agent will be able to provide you a decent amount of knowledge on the property available in the area in your price range, number of interested buyers and how long properties are taking to sell, amongst other things. They may also let you know when new properties are about to be placed on the market.
- Look around the neighbourhood. If you're buying in an area you don't know well, do some research on the area. Are you close enough to the amenities you need (local shops, parks, restaurants, pubs, takeaways)? Is there good access to suitable public transport? Is the area noisy (flight path, nearby trains, neighbours)?
- Flood risk. If the property has a high flood risk, it can impact insurance and the value of the property, and be a horrible experience if you get flooded. Look at the Scottish Environment Protection Agency site for Scotland, Environment Agency site for England, Natural Resources Wales website for Wales and NI Direct Government Services website for Northern Ireland.
- Questions to ask and things to look out for. There's a useful checklist of questions linked at the end of the page that you may wish to ask the seller and things to look out for when buying the property. Consider filling these documents in when you are viewing to keep track of the good and bad points on the property. These details were taken from the Money Savings Expert website.
- Home Report (Scotland only). In Scotland, when a property is placed on the market it is a legal requirement for the seller to have a Home Report. They must provide it to you within 9 days of you asking for it. They are generally easy to get a hold of; you can request the report through the website or app that you found the property on. More details can be found on the mygov.scot website.
- Take photographs. It's worth taking pictures of the property you are visiting (with the seller's permission of course) to remind you of any specific details particularly if you are viewing a lot of properties.
- Visit at different times of the day. If you find a property you really like, visit at different times of the day and different days of the week to get a feel for how it looks and the activity in the surrounding area.
- Service charges (see leasehold / freehold below). Ask the seller if there are any service charges. These can be expensive, particularly if you are buying a flat. You will also need to understand what the service charge covers. For example, service charges for flats often include buildings insurance, so you may not need to set up a buildings insurance policy (but you would need insurance for contents and fixtures and fittings).
- Leasehold / Freehold. A property you buy will either be freehold or leasehold. Before buying, ensure you understand which type it is:
- Freehold.
- You own the property and the land it is built on for as long as you want.
- You're responsible for the upkeep and maintenance of the property and the land you own.
- No leases to consider.
- No ground rent or maintenance fees (there may be maintenance fees for local shared communal areas such as play parks and pathways).
- Most common way to buy a house in the UK.
- In Scotland, this is also referred to as "heritable interest".
- Leashold.
- You buy the property, but not the land.
- Land is owned by the freeholder.
- More common with flats, but there are leasehold houses.
- Shared spaces (such as gardens and hallways) are the responsibility of the landlord; they will sort out the work.
- You pay a service charge and ground rent to cover this.
- Check the length of time on a leasehold - if it is less than 80 years be very wary. It can cost a lot of money to extend.
- Scotland abolished the traditional leasehold in 2012 and replaced with a residential-led model of ownership. Residents have control of managing their own flat and a collectively responsibility for the communal areas. The communal areas can often be managed by a property management company.
