Your first time buyer guide: what to do now, step by step

That is the entire game, in one sentence. Everything else in this guide fills in the detail behind those four moves.

Before you go any further, gather these:

• Proof of ID (passport or driving licence) and three months of address history
• Three to six months of bank statements and recent payslips
• A target deposit figure, ideally 10% or more of your target property price
• A Decision in Principle from a lender or broker

The MoneyHelper first-time buyer guide confirms most UK lenders want a minimum deposit of 5% to 10%, and Gov sets out the same sequence: finances first, mortgage readiness second, legal instruction third.

Key Takeaways

A successful first-time purchase depends on saving a realistic deposit, securing a Decision in Principle early, instructing a regulated conveyancer promptly, and budgeting for every cost beyond the deposit itself.

Table of Contents

First time buyer guide to saving for your deposit

A 5% deposit gets you in the door on many mortgage products, but it puts you at the highest loan-to-value bracket, where rates are least generous. MoneyHelper's research on first-time buyer money tips backs this up: larger deposits consistently unlock better rates because they reduce the lender's risk.

Saving the deposit itself usually comes down to three tactics working together.

• A dedicated regular saver account, kept separate from everyday spending, with a standing order set up the day your pay lands
• A Lifetime ISA, which adds a 25% government bonus on contributions up to £4,000 a year, provided the property costs £450,000 or less and you have held the account for at least 12 months
• Trimming discretionary spending (subscriptions, takeaways, unused memberships) and redirecting that money straight into the saving pot, rather than leaving it in a current account where it gets spent

Automating the transfer matters more than people expect. Money that moves before you see it rarely gets spent; money that waits for a "spare cash" decision usually does.

Pro Tip: If parents or family are contributing towards your deposit, tell your mortgage broker and conveyancer early. A gifted deposit needs a signed gift letter confirming it is not a loan, and your lender's underwriters will want to see it before they release funds. Leaving this until the week of exchange is one of the most common, and most avoidable, causes of delay.

How do I get mortgage-ready as a first time buyer?

Lenders build an affordability picture from your income, outgoings, and credit history, then decide the maximum loan-to-value (LTV) they will offer against that picture. A smaller deposit means a higher LTV, and higher LTV deals are priced more cautiously, sometimes a full percentage point or more above the best rates on the market.

Three practical steps improve your position before you apply:

1. Pull your credit file from one of the main reference agencies and correct any errors, missed payments recorded against the wrong account, or old addresses that create confusion 2. Close unused credit cards and reduce existing balances where you can, since lenders look at your total available credit, not just what you owe 3. Avoid new credit applications, mobile contracts, or car finance in the three to six months before applying, as each hard search can dent your score

Lenders will also want documentary proof: recent payslips, three to six months of bank statements, ID, and proof of address. Self-employed buyers typically need two to three years of accounts or tax returns, so start that paperwork earlier if you fall into this category.

A Decision in Principle (sometimes called an Agreement in Principle) is a lender's provisional estimate of how much they would lend you, based on a soft credit check. It carries real weight with estate agents and sellers because it signals you can move quickly, and it is generally sensible to secure one before you start viewing seriously. It is not, however, a formal mortgage offer. It comes with no legal commitment on either side and can be withdrawn if your circumstances or the lender's criteria change before you complete a full application.

Which mortgage type should a first time buyer choose?

Your two biggest decisions are how you repay the loan and how the interest rate behaves over time.

Repayment vs interest-only. A repayment mortgage clears both capital and interest each month, so the balance shrinks to zero by the end of the term and you own the property outright. Interest-only mortgages, where you pay interest alone and settle the capital separately at the end, are rarely available to first-time buyers without a credible repayment vehicle already in place, and most lenders will not offer them for a first purchase.

Fixed vs tracker or variable. A fixed-rate deal locks your monthly payment for two, three, or five years, giving you certainty while you settle into home ownership. A tracker or variable rate moves with the Bank of England base rate (or the lender's own standard rate), which can work in your favour if rates fall but exposes you to higher payments if they rise. Most first-time buyers choose a fixed rate for the predictability alone.

Term length. Stretching the term from 25 to 35 years lowers your monthly payment but increases the total interest paid over the life of the loan, so weigh short-term affordability against long-term cost carefully.

Your deposit size directly shapes which of these products you can actually access:

• At 5% deposit (95% LTV), your choice of lenders and rates narrows considerably
• At 10% to 15% deposit, more competitive fixed deals typically open up
• At 20%+ deposit, you generally reach the most favourable pricing tiers available

The practical sequence runs: Decision in Principle, then full mortgage application with supporting documents, then the lender's valuation of the property, then a formal mortgage offer with a fixed expiry date, usually three to six months.

What does a first time buyer need to budget for beyond the deposit?

Your deposit is the headline figure, but it is far from the only cost. Budget for every one of these before you make an offer:

• Conveyancing solicitor fees, which vary by firm and by transaction complexity
• A search bundle covering local authority, environmental, and water and drainage searches, which commonly falls in the low hundreds
• Land Registry fees, charged on a sliding scale tied to the property's purchase price
• A survey, from a basic valuation through to a full building survey
• Mortgage product or arrangement fees, sometimes added to the loan itself rather than paid upfront
• Removal costs, and buildings insurance from the point of exchange

Straightforward freehold purchases often see total conveyancing costs, fees plus disbursements, fall somewhere in the low thousands, though the exact figure depends on the firm and the transaction. Our guide to the full costs of buying a home breaks these down in more detail, and the conveyancing costs calculator helps you model your own figures before you commit.

First-time buyers also get a meaningful break on Stamp Duty Land Tax. In England and Northern Ireland, GOV.UK's SDLT rates confirm that first-time buyers pay no SDLT on properties up to £300,000, and 5% on the portion between £300,001 and £500,000. Buy above £500,000 and the relief disappears entirely, and you pay standard rates on the full amount. Scotland and Wales run their own separate systems, Land and Buildings Transaction Tax and Land Transaction Tax respectively, each with their own first-time buyer provisions, so check the relevant devolved authority if you are buying outside England or Northern Ireland.

Claiming the relief is not automatic. GOV.UK's guidance on SDLT reliefs and exemptions is clear that reliefs must be declared on the SDLT return, using the correct relief code, even when no tax is actually due. Your conveyancer normally files this return on your behalf, but it is worth asking them directly to confirm they have applied the first-time buyer code correctly, since an error here can trigger an unwelcome HMRC query months later.

Always ask any solicitor for an itemised quote that separates their professional fee from disbursements. A quote that lumps everything into one number is far harder to check against what actually gets charged at completion.

What should first time buyers check at viewings and offers?

Viewings go faster and offers land better when you know what to look for before you walk in.

1. Check the property's EPC rating and council tax band, both of which affect your ongoing running costs 2. Look for visible defects, damp patches, cracked render, sagging guttering, and ask the agent directly how long the property has been on the market 3. Ask why the current owner is selling and whether they have a chain below them, since a chain-free seller usually moves faster 4. Present your Decision in Principle alongside your offer, since it tells the seller and agent you are ready to proceed without delay 5. Pitch your opening offer with room to negotiate, but stay realistic against recent comparable sales in the area 6. Arrange your survey as soon as your offer is accepted, so any defects surface before you are legally committed, giving you room to renegotiate the price or ask the seller to fix specific issues

Conveyancing step by step: what happens after your offer is accepted

Instruct a solicitor the moment your offer is accepted, not weeks later. A regulated conveyancer can start anti-money-laundering checks and order searches immediately, running that work in parallel with your mortgage application rather than waiting for it to finish first.

From instruction to completion, the process generally runs through these stages:

• Your solicitor requests the draft contract and title documents from the seller's solicitor
• Local authority, environmental, and water and drainage searches are ordered and returned, typically taking a few weeks depending on the local authority
• Pre-contract enquiries are raised and answered, covering anything unclear in the title, searches, or property information forms
• Your solicitor coordinates with your mortgage lender to satisfy the conditions attached to your formal offer
• Exchange of contracts takes place once all parties are satisfied, at which point the transaction becomes legally binding and your deposit is due
• Completion follows, usually one to four weeks after exchange, when keys are released and money moves
• Your solicitor registers the transfer with the Land Registry and pays any Stamp Duty Land Tax due

For a straightforward freehold purchase, total conveyancing costs, fees plus disbursements, commonly amount to several thousand pounds, though leasehold or new build purchases usually cost more because of the extra checks involved. Our detailed walkthrough of the role of a conveyancer in the buying process covers each stage in more depth.

Pro Tip: Ask your conveyancer for their average turnaround time on searches and pre-contract enquiries before you instruct them. A firm that quotes a specific number of days, and hits it, saves you weeks over the life of the transaction compared with one that gives a vague answer.

What survey do first time buyers actually need?

A mortgage valuation, arranged by your lender, only confirms the property is worth what you are paying for it. It is not a survey, and it will not flag structural problems.

• A Homebuyer Report suits conventional properties in reasonably good condition, built from standard materials, and costs less than a full survey
• A Building Survey (formerly a "full structural survey") suits older, unusual, or visibly worn properties, and digs far deeper into the structure, roof, and foundations
• Order your survey as soon as your offer is accepted, ideally before your mortgage valuation is booked, so any serious defects surface while you still have room to negotiate
• If the survey reveals problems, you have three real options: renegotiate the price, ask the seller to fix the issue before exchange, or walk away if the cost or risk is too high

How long does buying your first home actually take?

Rightmove's own analysis of the UK buying process puts the average journey from search to completion at around seven months, though straightforward chain-free purchases can move faster.

The most common hold-ups are searches that expire and need renewing, a break somewhere in the chain above or below you, and slow replies from either side's solicitor. Ask your conveyancer upfront what response time you can expect on queries, and chase politely if a stage runs noticeably longer than the estimate. Our guide on how long conveyancing takes breaks down each stage further.

What government schemes help first time buyers?

Beyond stamp duty relief, several schemes exist specifically to help first-time buyers onto the ladder.

• The Lifetime ISA adds a 25% government bonus on savings up to £4,000 a year, provided the property costs £450,000 or less and the account has been open for at least 12 months
• Shared Ownership lets you buy a share of a property (often between 25% and 75%) and pay rent on the remainder, with the option to buy further shares over time
• First Homes offers new-build properties at a discount against market value for eligible local first-time buyers, though availability varies by area
• Scotland and Wales run their own separate schemes and tax systems, so always check the relevant devolved government's guidance rather than assuming England's rules apply

Which?'s rundown of first-time buyer schemes is a useful starting point for eligibility detail. Worth noting: Shared Ownership purchases involve a lease alongside the standard title, which adds extra checks to your conveyancing, so factor that into your solicitor's quote if this route applies to you.

How do I choose the right conveyancer as a first time buyer?

Regulation is the first filter, not an afterthought. Confirm any firm you consider is regulated by either the Solicitors Regulation Authority (SRA) or the Council for Licensed Conveyancers (CLC), both of which maintain public registers you can check before instructing anyone.

Beyond regulation, a few practical checks separate a good conveyancer from a risky one:

• An itemised fixed-fee quote that clearly separates the solicitor's own fee from disbursements like searches and Land Registry costs
• A stated average turnaround time for searches and enquiries, not a vague "it depends"
• Genuine client reviews you can verify independently, rather than testimonials sitting only on the firm's own website
• A no-sale-no-fee option, which protects you financially if the purchase falls through for reasons outside your control
• Clarity on how they communicate: phone, email, or an online portal, and how often you should expect updates

Using a regulated instant-quote marketplace removes much of the guesswork here, because every firm listed has already passed a vetting check, and the fixed fee you see upfront is the fee you pay, not a starting estimate that grows as disbursements get added later.

Pro Tip: Ask any conveyancer for a sample communication or update timeline before you instruct them. A firm that cannot describe how or when they will update you is one of the clearest early warning signs of a slow transaction ahead.

A note on what actually causes delays

The biggest hold-ups I see rarely come from the legal work itself. They come from buyers who wait too long to instruct a solicitor, sellers who have not sorted their own paperwork, or a chain where one link is simply slower than the rest. Early instruction, and a solicitor who tells you plainly what they need and when, fixes most of this before it becomes a problem.

Be wary of any firm that will not give you a written, itemised fee quote before you commit. Opaque pricing on conveyancing is one of the oldest tricks in the property trade, and it is almost always a sign of a firm that will surprise you again later, at completion, when you have far less room to negotiate.

Get an instant, fixed-fee conveyancing quote

Every solicitor mentioned in this guide needs choosing carefully, and that choice is exactly where Conveyancing-solicitor earns its place. Every firm is five-star rated, every fee is disclosed upfront, and no-sale-no-fee options are available if your purchase falls through. Head to the instant conveyancing quote page now, enter your purchase details, and compare fixed-fee quotes from regulated conveyancers in minutes, before you need to make a single phone call.

First time buyer FAQs

What is the minimum deposit for a first-time buyer in the UK? Most lenders ask for at least 5% of the purchase price, though MoneyHelper's guidance notes that a 10% deposit or higher typically unlocks better mortgage rates.

Do first-time buyers pay stamp duty? In England and Northern Ireland, first-time buyers pay no SDLT on properties up to £300,000, and 5% on the portion between £300,001 and £500,000, according to GOV.UK's SDLT rates. Properties above £500,000 do not qualify for the relief.

How long does the whole process take from offer to completion? Rightmove's timeline research puts the average UK purchase at around seven months from search to completion, though chain-free transactions can move considerably faster.

What is the difference between a Decision in Principle and a mortgage offer? A Decision in Principle is a lender's provisional estimate based on a soft credit check, useful for making offers but not legally binding. A formal mortgage offer follows a full application, documentation, and a property valuation, and comes with a fixed expiry date.

What happens if my mortgage application is declined? Ask the lender for the specific reason, since it is often something fixable, an error on your credit file, an affordability gap, or missing documentation. Correct the issue, wait a few months if a hard credit search caused a dip, and consider approaching a different lender or a mortgage broker who can match you against lenders with different criteria.

Do I need a solicitor or a licensed conveyancer? Both are regulated, either by the SRA or the CLC, and both can legally handle your property transaction. The choice comes down to the firm's fees, reviews, and turnaround times rather than the title itself.

What ongoing costs should I budget for after completion? Beyond your mortgage payment, budget for council tax, buildings and contents insurance, utilities, and ongoing maintenance, which typically runs higher in the first year as you settle into a new property.

This article is general information, not a substitute for advice from a qualified financial advisor. Consult a qualified financial professional about your own circumstances before acting on anything here.

Sources

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