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Understanding The Mortgage & House Buying Process Timeline: A Guide for First-Time Buyers

Updated: Sep 19

Buying a property is a significant milestone for any first-time buyer. From starting your property search to completing the purchase, the process of buying a home and securing a mortgage in the UK usually takes around four to six months on average. However, various factors can influence this timeline, such as your financial situation, the property you want to buy, and the seller’s circumstances. This guide aims to provide first-time buyers with a detailed overview of the mortgage and general buying process timeline, helping you understand what to expect at each stage.

Model house alongside an egg timer & coins, emphasising the significance of grasping the mortgage and home buying timeline to ensure a seamless and trouble-free property purchase.
Time Your Home Buy Right!

1. Submitting a Mortgage Agreement in Principle (AIP) Application: a Key Step in the House Buying Process Timeline

An Agreement in Principle (AIP) gives you an indication of how much you could borrow. It’s best to obtain this before you start house hunting, so you know you’re looking at properties within your budget. You can typically get an AIP on the same day you apply.

Working with a mortgage broker can greatly simplify the process of securing an AIP. Many lenders offer online applications with instant decisions, but a broker can help navigate your options and ensure you get the best deal available.


Key Points:

  • Definition: An AIP is a lender's initial agreement to lend you a certain amount, subject to final approval.

  • Duration: Usually obtained within 24 hours.

  • Importance: Helps you understand your borrowing capacity and shows estate agents and sellers that you are a serious buyer.


2. Finding a Home and Making an Offer (Varies from a Few Weeks to Several Months)

Finding the right home is arguably the most exciting part of the process. It’s essential to take your time and research your chosen area to ensure you make the right choice. The duration of this stage can vary significantly, depending on the property market and your specific requirements.


Key Points:

  • Research: Investigate different neighbourhoods, amenities, and property prices.

  • Viewings: Schedule viewings to get a feel for the properties.

  • Making an Offer: Once you find a suitable property, make a formal offer through the estate agent.


3. Formally Applying for a Mortgage (1 to 4 Weeks)

Once your offer is accepted, the next step is to formally apply for a mortgage. Your lender will conduct a detailed assessment of your financial situation and the property. Expect your mortgage offer to take anywhere from one to four weeks to come through.


Key Points:

  • Documentation: Provide proof of identity, your current address, income and expenditure.

  • Valuation: The lender will conduct a valuation of the property. Remember, this IS NOT a survey – you can read more on this here.

  • Approval: If everything checks out, the lender will issue a formal mortgage offer.


4. Conveyancing (6 to 12 Weeks)

Conveyancing is the legal process of transferring property ownership from the seller to the buyer. This stage involves your solicitor conducting various checks and searches to ensure there are no legal issues with the property.


Key Points:

  • Searches: Local authority searches, environmental searches, and water/drainage searches.

  • Drafting Contracts: Your solicitor will draft the contract for the sale.

  • Enquiries: Address any queries or concerns about the property.


5. Property Survey (2 to 3 Weeks)

A property survey assesses the condition of the property and identifies any potential issues. It’s best practice to await your mortgage offer before splashing out on a survey to ensure you have the financing in place.


Key Points:

  • Timing: Conducted after receiving your mortgage offer.

  • Purpose: Identifies structural issues or defects that could affect the property’s value, something a basic mortgage valuation may not pick up.


6. Exchange of Contracts to Completion (1 to 4 Weeks from Receipt of Mortgage Offer)

The exchange of contracts marks the point at which the sale becomes legally binding. You will then have a set date for completion, which is when you pay some/all of your deposit, and the property officially becomes yours.


Key Points:

  • Deposit: Pay your deposit (or a percentage of) upon exchange of contracts.

  • Completion Date: Agree on a completion date with the seller.

  • Final Steps: Activate your mortgage protection and buildings insurance.


A poorly French bulldog lying down, illustrating the critical need to safeguard your mortgage against unforeseen events like illness or injury, ensuring financial security and peace of mind.
Protect Your Pup & Mortgage!

7. Finalising and Setting Up Mortgage Protection and Insurance Policies (1 to 2 Weeks)

It's a good idea to start looking into mortgage protection options as soon as you submit your mortgage application as to avoid delays further down the line. Think about getting protection like life insurance, critical illness cover, and income protection insurance for peace of mind. These policies help protect you and your loved ones from unexpected events. Your mortgage broker can help with this but make sure they have access to a variety of key providers and products.


Once you exchange contracts, it's important to finalise any necessary mortgage protection and insurance policies. This protects your financial investment from unforeseen issues. Also, remember that buildings insurance is a must, as your solicitor will need proof of coverage before you complete.


Key Points:

  • Buildings Insurance: A requirement from the lender to protect the property's structure.

  • Timing: Begin setting up insurance policies immediately after exchanging contracts to ensure coverage is in place by completion.

 

8. Complete Your Purchase and Move In!

Congratulations! You’ve reached the final step. On the agreed completion date, your solicitor will transfer the remaining funds to the seller’s solicitor, and you will receive the keys to your new home.


Key Points:

  • Utilities: Set up utility accounts for your new property.

  • Celebrate: Enjoy your new home and celebrate your significant achievement!


Conclusion

Understanding the mortgage and house buying process timeline can help you prepare for each stage and ensure a smoother experience. By following these steps and being well-prepared, you'll be better equipped to handle the complexities of buying a home and securing a mortgage. Remember, the key to a successful home purchase lies in understanding the process, staying organised, and seeking professional advice when needed.


Don't navigate this process alone. Whether you have questions or are ready to take the next step, we’re here to help you. Connect with us today, call us directly, chat with us live for immediate assistance (during working hours only), or start your application journey now to pave the way toward buying your first home - our expert team is dedicated to guiding you every step of the way.

 

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


As with all insurance policies, conditions and exclusions will apply.


Published by Beechwood Mortgages Ref: 219335 with review and approval from Stonebridge Mortgage Solutions Limited who is authorised and regulated by the Financial Conduct Authority Ref: 454811.

 


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