What to do once you have reserved your new build home
Buying a new build home is an exciting time, but it can get a little confusing at certain points. There are lots of steps to follow such as securing your mortgage, putting down a deposit, hiring a solicitor and arranging surveys. To take the hassle out of the process, follow our 5 step guide that explains what to do once you’ve reserved your new build home.
When you’ve found your dream home and feel that it is the right one for you, it’s time to put down a reservation fee. This holds the property for you so that no one else can reserve it. Once the sale goes through, this amount will be deducted from your purchase cost. After which, comes the next stage of your new build journey.
1. Arrange your mortgage
Once you have reserved your home, it’s time to secure your mortgage if you haven’t already. If you are already in the process of getting a mortgage, go back to your lender to secure a formal mortgage offer. Without your mortgage you won’t be able to continue onto the next step.
2. Hire a solicitor or conveyancer
Hiring a solicitor or conveyancer will help you to conduct the legal requirements that come with buying a home. They will be in charge of transferring ownership of the property to you. Your conveyancer or solicitor will handle any legal searches, such as those with the local authorities or Environment Agency.
Once you have secured a solicitor or conveyancer, it may be best to conduct a survey of the property. You can do this by hiring a surveyor who will check the structural integrity of your home. A survey is not however, the same as a mortgage valuation. This is where your mortgage provider will need a valuation to see what your property is worth. This then determines if your property is sufficient security for your loan.
3. Get ready to exchange contracts
Before you can exchange contracts on your new home you will have to be ready to put down a deposit. Your deposit will need to be 10% of your final purchase price, unless you have opted to go through the Help to Buy scheme. This Government-backed scheme allows you to put down a deposit of just 5%, with a 75% mortgage and a 20% Government equity loan. When you have your deposit ready, you can then begin to exchange contracts.
Your solicitor will help to arrange this. But you can only exchange contracts once the solicitor/conveyancer is happy with the searches, a formal mortgage offer has been received and you have made arrangements for the deposit. Once you have exchanged contracts, you are now legally committed to the property. When exchanging contracts you should also agree a completion date with the developer. This will help you to plan your move in date.
4. The final arrangements
Now that you have an agreed completion date, it’s time to start packing up your belongings. Hiring a reliable removals company will help to make your move as smooth as possible. There are lots of websites that have helpful reviews of removal companies, helping you to find the right one for you. Which? Trusted Traders is a great website for finding reliable local tradesmen, including removals companies.
5. You’re almost ready to move in
On the date of completion you finally become the legal owner of your new home. The full cost of the property is then transferred from your solicitor to the seller. Then the keys are yours and you can move into your brand new house. This is when you can start to plan what your home will look like. Look to platforms such as Pinterest for great ideas on how to decorate your home. Or for new build inspiration, David Wilson Homes have a selection of articles dedicated to the latest interior trends, tips and tricks and new build advice. Find advice and inspiration here.
Are you looking for your dream home? David Wilson Homes offer a range of high quality family homes in a number of desirable locations. Find your perfect home today.