First-time buyers: Know your budget

Before you start house hunting, it’s essential to know what you can afford. We’ll review your financial circumstances in detail, considering your income, existing debts, day-to-day spending, employment status, and the size of your deposit. This helps us determine a realistic borrowing amount, ensuring you don’t overstretch yourself financially.

As your hard-saved deposit and monthly mortgage repayments aren’t the only expenses you need to be mindful of when buying your first home:

• Some lenders will charge for a valuation fee to help them establish how much they are prepared to lend you.
• You’ll also need to factor in the cost of a survey (depending on the type of property you’re buying and the lender you choose
  to go with you might need a basic mortgage valuation, a homebuyers report or a full structural survey).
• In Scotland you also need to budget for Land and Buildings Transaction Tax on properties over £175,000.
• In Wales you’ll need to budget for Land Transaction Tax on properties over £225,000.
• In England or Northern Ireland, you’ll need to budget for Stamp Duty Land Tax on properties over £425,000.
• You’ll also need to pay your solicitor or conveyancer for any legal work and local searches they do on your behalf.