First time Buyers Guide

You’re considered a first-time buyer if you’ve never owned a residential property before, including both leaseholds and freeholds.

What is a mortgage?

A mortgage is a loan from a bank or building society towards the total cost of a house. Most run for 25 years but can be shorter or longer. It’s secured because the bank has the right to withdraw it if you can’t keep up with the monthly repayments.

How much deposit do I need to buy a home?

You may be able to buy a home with a 5% deposit, though most lenders will require a 10% deposit. For example, if your property costs £130,000, you’ll need to save at least £13,000. Your lender will lend you the remaining 90%, known as Loan-to-Value (LTV).

The bigger your deposit, the more mortgage deals you can access.

Things to do before applying for a mortgage

Below are a few things you can do to increase your chances of getting a mortgage.

1. Chec your credit score

Your credit score is a description and prediction of your financial behaviour. It’s one of the first things lenders will look at when you submit your mortgage application, so it’s a good idea to check it beforehand.

2. Ensure you can afford your monthly payments

The next step is to ensure you can afford your monthly repayments on top of other expenses like utility bills, food and leisure. We recommend setting a budget before you start viewing properties.

3. Browse the different mortgage types

From fixed and variable-rate mortgages to discount and tracker mortgages, finding the right one for you can be hard. Our comprehensive guide to the different mortgage types takes you through each to help you make the right decision.

4. Consider the other costs of buying a home

You may need to pay other fees when buying your first home, including the following:

• Conveyancing or solicitor
• Estate agent
• Insurance
• Valuation
• Survey
• Stamp Duty
• Removal

Our guide to the costs of buying a new home explores each in detail.

Stages of the mortgage application process

Here, we outline the most important stages of the mortgage application process and their timeline.

Task	Time
Finding the right mortgage	1-3 days
Getting a mortgage in principle	24 hours
Applying for a mortgage	3-6 hours
Getting your mortgage valuated	1-2 weeks
Receiving a mortgage offer	2-4 weeks

Help for first-time buyers

As a first-time buyer, you may be eligible for unique low-deposit schemes.

Deposit Boost

If you already have a 10% deposit, we can top it up by 5%. This means you will have a total deposit of 15% to put down on your new home.

Deposit Unlock

Deposit Unlock lets first-time buyers buy a new home with a 5% deposit up to the value of £750,000.

Kickstart

Kickstart is a shared ownership scheme that helps you buy up to 75% of a brand-new home while paying rent on the remaining share.

Parent Power

Parents can help you with your deposit, guarantee your mortgage or act as a joint loan applicant. We can match your deposit up to a maximum of 5% of the purchase price.

First Homes

With this Government-backed scheme, you can buy a home with a 30% discount on the market value. The offer is available on homes of up to £250,000 (£420,000 in London) after the discount is applied.

Our David Wilson homes are energy-efficient and sustainable, with thermally efficient insulation and argon-filled double-glazed windows. Browse our brand-new properties across the UK, including stylish 2 and 3 bedroom new houses.

Call our Sales Advisers to reserve your new home today.