Essential Tips for First Time Buyers

David-Lee Dowson
Jun 10
3 min read

Buying your first home can feel overwhelming. The process involves many steps, from saving for a deposit to understanding mortgages and legal requirements. This guide breaks down the key actions first time buyers need to take to make the journey smoother and more manageable.

Eye-level view of a modern UK suburban house with a "For Sale" sign outside — Typical first-time buyer house in the UK

Understand Your Budget and Save for a Deposit

Before searching for a property, it’s crucial to know how much you can afford. Start by reviewing your finances carefully:

Calculate your monthly income and expenses to see how much you can realistically set aside for mortgage payments.
Aim to save at least 5% to 20% of the property price as a deposit. The larger your deposit, the better mortgage deals you can access.
Remember to budget for additional costs such as stamp duty, solicitor fees, survey costs, and moving expenses.

For example, if you are looking at a £200,000 property, saving a 10% deposit means you need £20,000 upfront. This might take time, so consider setting up a dedicated savings account to track your progress.

Research Government Schemes for First Time Buyers

The UK government offers several schemes to help first time buyers get on the property ladder:

Help to Buy Equity Loan: Available in England, this scheme lets you borrow up to 20% (40% in London) of the property price interest-free for the first five years.
Shared Ownership: You buy a share of a property (usually 25% to 75%) and pay rent on the remaining share.
Lifetime ISA: You can save up to £4,000 a year, and the government adds a 25% bonus on your savings, which can be used towards your first home.

Check eligibility criteria carefully and consider how these schemes fit your financial situation. Using these options can reduce the amount you need to borrow from a mortgage lender.

Get a Mortgage Agreement in Principle

Before making offers on properties, get a mortgage agreement in principle (AIP). This document shows sellers you are serious and financially capable of buying. It also helps you understand how much a lender is willing to loan you.

To get an AIP:

Provide basic financial details to a mortgage broker or lender.
They will assess your credit score, income, and outgoings.
You receive a statement indicating the loan amount you qualify for.

Having an AIP can speed up the buying process and give you confidence when negotiating.

Choose the Right Property and Location

Choosing your first home is about balancing your needs, budget, and future plans. Consider:

Proximity to work, schools, and transport links.
Local amenities such as shops, parks, and healthcare.
Potential for property value growth in the area.
Type of property: flat, terraced, semi-detached, or detached.

For example, a flat in a city centre might be more affordable but offer less space than a semi-detached house in the suburbs. Think about your lifestyle and priorities.

Hire a Solicitor or Conveyancer Early

Legal work is a vital part of buying a home. A solicitor or licensed conveyancer will handle contracts, searches, and registration of ownership.

Choose someone experienced with first time buyers.
They will check for any legal issues with the property.
They manage the exchange of contracts and completion day.

Hiring a professional early avoids delays and ensures your interests are protected.

Arrange a Property Survey

A survey helps identify any structural problems or repairs needed before you commit to buying.

A Homebuyer’s Report is suitable for most properties and highlights major issues.
A Building Survey is more detailed and recommended for older or unusual homes.

If the survey reveals problems, you can negotiate repairs or a price reduction with the seller.