Top tips for finding a good property agent
Regardless of location, it’s critical to find a good real estate agent. Here are our five top tips for finding the right agent.
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Viewing properties with an agent – “The Viewing Trip”
As mentioned elsewhere in this guide, it is highly recommended that you view any potential property purchase prior to making an offer.
If you can, stay in the area in which you are viewing the property – rent an apartment or try out a holiday let to get a feel for the properties and what it’s really like in the area in which you wish to buy.
It’s always a good idea to look at any potential property investment at different times of the year and in different situations – visit both day and night, if you can – and comparing and contrasting what the property’s like in both summer and winter is advisable.
If it is a long journey for you, you will need to make the most of any specific trips to view properties and be organised – plan ahead as much as possible and make sure your agent works for you to ensure a solid schedule of viewings of properties that fit your criteria.
Halo handy HINT: Renting before you buy
Mimzee Brewer, Head of Overseas Property at Halo Financial, shares her Top Tip: “Overseas buyers who are looking to emigrate or buy a holiday home often try before they buy in their country and area of choice by renting beforehand. Many agents offer both short and long tern rentals as well as properties for sale – speak to some agents and look around to see what’s on offer that suits your needs.”
The buying process
The following is a step by step guide as to how the property buying process in the UK actually works.
Step one: Find the property
The internet will undoubtedly be the first place most people turn to when it comes to finding the right property. However, if you are visiting the area in which you wish to buy, then take time to visit all the local estate agencies and peruse local newspapers and any free neighborhood magazines.
Step two: Visit the property
Once you have selected a property – or properties; it never hurts to have options – then it’s important to visit to make sure it’s everything the agent says it is. When visiting a property, it’s a good idea to talk to locals about what the area is like. In the UK, people are often only too happy to either chat and point out any flaws in life in their home town.
Step three: Ensure finances are in place
Okay, so you’ve found the property for you. It’s time to make an offer! However, before you do, it’s essential to check that all your finances are in place. Can you definitely get the mortgage you need? Do you have enough money set aside for extra, hidden, costs such as legal fees and agency commission? Legal fees will typically cost somewhere in the region of £850-£1,500 including VAT at 20 percent. You should always use a qualified solicitor when purchasing a home in the UK. In fact, many mortgage providers require both parties to be professionally represented. Meanwhile, the estate agent will normally take somewhere between 1-3 percent of the cost of the property. Don’t forget those currency costs, too!
Step four: Make an offer
Once your finances are in place and you have engaged a solicitor to work on your behalf, it is time to make an offer. You do this through the agency, who will then present it to the seller, who will either accept or reject the offer. Many, although not all, sellers will accept offers below the market value, so it is worth starting with a lower offer, just to test the water. It is worth noting that even if the offer is accepted, the house is still not legally yours. You and the seller are not legally bound to complete the purchase until you have reached exchange of contracts. Until this happens, the seller is free to accept a higher offer from another party, should one materialise. This is called “gazumping” and is common practice in the UK, unfortunately.
Step five: Organise a survey
While your solicitors and agents work with the seller’s representatives to draw up the contract, it is worth organising an independent builder’s survey of your potential property. This will alert you to any problems with the home, such as structural damage or damp. Remember, the purchase is still not legally binding at this stage, so if any problems are found, it’s not too late to negotiate on price, or even pull out completely. The costs of a survey will vary from between £300 for a standard builder’s inspection to around £1,000 for a full structural survey. (Damn those hidden costs!)
Step six: Negotiate a completion date
Once all finances are in place and the buyer has made all their relevant checks, the solicitors will discuss the completion dates required by their clients. Once both parties are ready to proceed, there will then be an exchange of solicitors’ contacts. This is a binding contract and once signed, withdrawing will cost the buyer their deposit and could leave them open to legal action. Non-Brits buying a property will usually be asked to pay 10 percent of the purchase price at exchange of contracts.
Step seven: Completion date
On the date of completion, the solicitor will arrange to settle the remaining sum for the property and then register the title at the Land Registry and send the buyer evidence of registration. Thereafter, the property belongs to the new owner and they can take possession of the keys. Please note that this entire process commonly takes between two to three months and can be longer. This will come as a shock to some overseas buyers, who may be used to much quicker purchasing processes in their home country.