Buying your First Home, who is involved?
First Time Home Buying Guide - Page 2 of 11:
Buying your first home can be an exciting and yet a trepidous experience. The process will inevitably bring all the human emotions into play - laughter, tears, arguments, joy, frustration, disappointment, satisfaction and usually a great sense of achievement.
The task ahead on first sight can seem to be a piece of cake! After all, millions of people have bought houses before. Surely all that happens is you see a property you like, you get a mortgage, and you buy the property - job done!
Well, almost!
There is actually an awful lot to take into account when buying your first home, and it's a good idea to be forewarned about some of the steps in the procedure that you may come up against, as well as the component factors that will make it all happen.
Before we move on to the Guide proper, let's just have a look at the parties who are involved in the House Buying Process...
- First and foremost, there's you - The Buyer (or Purchaser)
- Then there's the person that's selling the property to you - The Vendor (or Seller)
- The Mortgage Broker. A mortgage specialist, like Shire Direct (that's us!), that will give you professional advice and a recommendation on a product that meets your needs, circumstances and aspirations. Although you can of course go to a lender direct, by using a Mortgage Intermediary, you have the advantage of a much wider choice of lenders as well as the Advisor's professional knowledge and expertise in lenders, schemes, rates and charges.
- The Estate Agent arranges the marketing in order to sell the property for the Vendor. It's important to note that the Estate Agent acts in the Vendor's best interest, not yours!
- The Solicitor. His job is to carry out the legal work on the transaction to ensure that you get good title to the property, and all the conveyancing procedures in order to transfer the property into your name.
- The Mortgage Lender who provides the mortgage funding to enable you to buy the property.
- The Valuer (sometimes called a Surveyor) who will carry out a valuation of the property to confirm that it will act as adequate security for the mortgage advance.
There are three types of property valuation you can select, and these are:
So now you know who's who when it comes to buying your first home, let's get stuck right into this guide. Why not grab yourself a drink and take a look at the next page which discusses the various steps involved in the house buying process.
The first time home buying process explained NEXT ›
The overall cost for comparison is 9.8% APR.
The actual rate available will depend upon your circumstances. Ask for a personalised illustration. APR variable and based on a usual case. Most customers are likely to receive a lower rate or the same rate as our overall cost for comparison rate - learn more about APR.
There are no upfront broker fees.
However, a fee may be charged on successful completion. An indication is that on conforming cases (straightforward applications with no or minimal adverse credit) a fee may be charged of up to 1% of the amount advanced, typically £795 and will depend on your circumstances.
For non-conforming cases (where case research and processing may be more complex due to adverse credit or unusual circumstances), a fee may be charged of up to 3% of the amount advanced, typically £1,995.
THINK CAREFULLY BEFORE
SECURING OTHER DEBTS AGAINST YOUR HOME.
YOUR HOME MAY BE REPOSSESSED
IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT.
Adding existing debt to your mortgage will increase the repayment term and overall cost.
Shire Direct and Shire Direct Mortgages are trading styles of Shire Processing Centre Limited which is
Authorised and regulated by the Financial Services Authority in respect of regulated mortgage products and general insurances.
Registered No: 302389. Commercial funding and Secured Loans are not regulated by the FSA.
Licensed Credit Brokers. Consumer Credit Licence Number: 349999.
Shire Processing Centre Limited is registered under the provisions of the Data Protection Act by the Information Commissioners Office: Registration No: Z6795249. Registered in England & Wales. Company number: 2732202. Telephone calls may be recorded for training, monitoring and security purposes. All applicants must be aged 18-years or over.
