# First time buyers help!



## Dan_W (May 30, 2013)

Hi all, as previously mentioned me and my partner are looking to buy our "dream" home. We viewed one today and are positive it's the one for us. Now where do we go, we have spoken to the bank who have advised us we can borrow the money. We are at the stage where we want to put an offer in but obviously as always the house needs work, it has hot air heating which is over 20years old and needs replacing. He has said his quote was 5k. The whole house is just in abit of a sorry state and is up for £249.950 obviously we don't want to offend the owner but also don't want to pay more then it's worth. Obviously we will want the house to have a once over before we hand over any cash, how do we go about that. The problem with buying a house is everyone seems to think you will know it all.

Thanks for any advice which is greatly appreciated.


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## danwel (Feb 18, 2007)

Not quite sure what your question is if i am honest. The hosue will at some point along the way have a survey done so am sure any defects will be found.

With regards your offer it is totally up to you. I'd not worry about offending them if i am honest as all they can do is say no. work out best you can what you need to spend on it to get it up to a decent standard and at very leat subtract that off your offer.

Without even seeing it of knowing what needs done i would be offering somewhere in the region of 210-220 initially as you can always go higher but never lower


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## S63 (Jan 5, 2007)

There are many factors that should influence your starting point.

1. How long has the house been on the market? Zoopla will give you a clue and will state if the initial asking price has been changed.

2. Has the owner had many viewings to date? The EA has a duty to tell you this, doesn't always work that way though.

3. Has the owner had any offers already? Once again a duty of the EA to put you in the picture.

4. What's is the owners position, are they reliant on the proceeds from this sale to buy another property? Have they put in an offer for a property, if so, what's the chain looking like?

5. If you're a first time buyer with a mortgage agreed in "principle" you're in a stronger position than some of any other potential buyers.

Do not be worried about offending or embarrassing the owner with a low offer, do it all through the EA keeping it strictly impersonal.

The "once over" is a survey which will be demanded by the company loaning you the money, it is also re-assurance for you both, there are three levels of survey, the more you pay, the more detailed the survey.

Good luck:thumb:


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## Dan_W (May 30, 2013)

S63 said:


> There are many factors that should influence your starting point.
> 
> 1. How long has the house been on the market? Zoopla will give you a clue and will state if the initial asking price has been changed.
> 
> ...


It's the process I struggle with, also once with regards the mortgage itself, obviously they ask if you have any outstanding credit cards, currently I don't but after being accepted if I loaded up credit card up with fees etc would it be a problem??


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## S63 (Jan 5, 2007)

dan92 said:


> It's the process I struggle with, also once with regards the mortgage itself, obviously they ask if you have any outstanding credit cards, currently I don't but after being accepted if I loaded up credit card up with fees etc would it be a problem??


Any bank or building society will want to ensure you're a good risk if they are to lend you money and will go through the normal credit checks and also (fairly new) a quite vigorous interview discussing your spending habits etc. All in an effort to stop people getting into financial difficulties further down the line as has happened all too often in the past.

Once your mortgage is in place you can as you say "load up" your cards, you can change your spending habits dramatically, the bank will show an interest if you start falling behind with payments.,what you mean by loading up with fees I don't quite get.

What part of the "process" are you struggling with?


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## MDC250 (Jan 4, 2014)

Make a realistic offer by researching as suggested but ultimately a home is worth what you are prepared to pay.

Bank will insist on a survey, these are typically tight as surveyor is covering their @rse.

If it's an old property get a full hit structural survey on top and any major nasty issues identified can then be reflected in a re-negotiated price, but don't take the pee for the sake of.

Then it's a case of cracking on with instructing Solicitors to exchange contracts and complete.

Job done


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## shine247 (Mar 1, 2010)

dan92 said:


> It's the process I struggle with, also once with regards the mortgage itself, obviously they ask if you have any outstanding credit cards, currently I don't but after being accepted if I loaded up credit card up with fees etc would it be a problem??


For current applications your envisaged outgoings will be taken into account. For example, house keeping costs, childcare costs if any, essential and non essential travel costs, the list goes on. It will include loan payments and credit card balances that are not paid in full. If you pass their affordability test you can move on. It sounds like that has happened. However, if something changes before draw down such as new borrowing it could affect your offer because you have had a change in circumstances to a point they may feel the mortgage is not affordable. If you start putting valuation fees etc. on cards and leave them there you may hit problems. Plus if you need to do that then possibly you are stretching too far. An offer can be withdrawn right up to completion for various reasons although lenders try to avoid doing so.

Hope that helps.


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## Dan_W (May 30, 2013)

Thanks for all your replys the only reason I planned to stick in on cards was just to increase my deposit, I don't really need to as I can borrow way more then I need. It was only an idea to reduce my mortgage as much as possible as my card is intrest free. I worry it may have a negative effect though so maybe I wont.


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## ChuckH (Nov 23, 2006)

Firstly as mentioned above do research and compare what very similar houses have sold for locally. I say similar as some folk think they can buy a house for 200K cos one up the road sold for it without taking into consideration the size condition ect ect. Not all houses are equal because they are in the same post code.

In your position you need the FULL SP on the real condition of the house. Now you can pay a surveyor a hefty fee or perhaps have a really good and qualified builder look at it .. Do you have a trusted friend or family member who really knows the wheat from the chaff ? A surveyor is all well and good but trust me a really good builder will know more..

Dont be lured in and make an offer to large. With respect you are new to the game so play a fair steady and canny hand. Remember you can always offer more if and when an offer is refused. 

Research and knowledge plus the opinion of a good builder should be the determining factors on the size of an offer if you do decide to offer once you have more to go on. 

Be assured there are lots of houses and no matter how keen you are there will always be another one ..

Good luck with it !


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