Guide to buying your first home

Buying your first home is exciting but can also feel daunting. It takes time, but the process can run smoothly if you prepare well. This guide takes you through each step, from working out your budget and the schemes available to first-time buyers to making an offer, exchanging contracts and moving in.

In this guide
Who counts as a first-time buyer?
Work out your budget
Schemes for first-time buyers
The costs of buying a home
Get a mortgage agreement in principle
Research areas and start house hunting
Make an offer
Once your offer is accepted
Exchange of contracts and insurance
Completion and moving day

Who counts as a first-time buyer?

A first-time buyer is someone who has never owned a home. The definition matters for stamp duty relief and some schemes. Some situations can change your status, such as inheriting a property or owning one abroad. If you are buying with someone else, you must both be first-time buyers to claim first-time buyer stamp duty relief.

Work out your budget

Before you look at properties or areas, work out what you can afford. The UK average house price was £272,611 in July 2026 (HM Land Registry UK House Price Index), so most first-time buyers need a mortgage.

Speak to a mortgage broker or lender

Speak to a mortgage broker, bank or building society to find out how much you can borrow. Go through your finances, including bills and everyday living costs, to make sure you can keep up the monthly repayments. Even if you can buy in cash, an independent financial adviser can help you review your finances.

How mortgages and loan to value work

A mortgage is a loan secured against your home until it is paid off. Many run for 25 years, but the term can be shorter or longer. Lenders describe the size of the loan as loan to value (LTV), the amount you borrow as a percentage of the property’s value. For example, with a deposit of £70,000 on a home worth £350,000, you would borrow £280,000 and your LTV would be 80%. A larger deposit usually gives you access to lower interest rates.

Most first-time buyers need a deposit of at least 5% of the price. Our guide to saving for a house deposit explains how to build one.

Schemes for first-time buyers

• Mortgage Guarantee Scheme. A permanent government scheme introduced in July 2025 supports mortgages for eligible first-time buyers and home movers throughout the UK with a deposit as small as 5%. A smaller deposit means larger monthly repayments.
• Lifetime ISA. You must make your first payment before you are 40. You can then save up to £4,000 a year until you are 50 and the government adds a 25% bonus of up to £1,000 a year. To use it for your first home, the property must cost £450,000 or less, you must buy with a mortgage and at least 12 months must have passed since your first payment in. The money is paid to your conveyancer.
• Help to Buy ISA. These accounts can no longer be opened. If you already have one, you can pay in until November 2029 and claim the 25% bonus until November 2030. If you have both a Lifetime ISA and a Help to Buy ISA, you can use the bonus from only one of them to buy your first home.
• Help to Buy equity loan. You can no longer apply for a Help to Buy equity loan for a property in England.
• Shared ownership (England). You buy a share of between 10% and 75% of a home’s full market value and pay rent on the rest, with the option to buy more later. Your household income must be £80,000 a year or less (£90,000 or less in London). All shared ownership homes are leasehold. Different rules apply in Scotland, Wales and Northern Ireland.

Eligibility depends on the property and your circumstances, so take advice before relying on any scheme.

The costs of buying a home

Budget for these costs as well as your deposit:

• Stamp duty. See the next section.
• Mortgage fees. Lenders may charge a valuation fee to check the property is worth what you are paying. Many mortgages also carry a product or arrangement fee. Some valuations are free.
• Mortgage broker fee. Some brokers charge a fee.
• Conveyancing fees. These cover the legal work, including searches, HM Land Registry fees and identity checks. Your conveyancer will confirm the total.
• Survey. Optional, but usually worth paying for. See below.
• Removals. Which? puts the average removals cost at £709 (January 2026, citing Reallymoving). You may not need a removals firm if you have little furniture or friends to help.
• Service charges and ground rent. If you buy a leasehold flat or house, check the ongoing charges before you commit.
• Insurance. Buildings insurance is usually a condition of the mortgage.

Do first-time buyers pay stamp duty?

Stamp Duty Land Tax applies to homes bought in England and Northern Ireland. First-time buyers can claim relief that reduces or removes it:

If the price is over £500,000, you cannot claim the relief and you pay the standard rates on the whole price. Your conveyancer usually files the stamp duty return and pays the tax, which is due within 14 days of completion. In Scotland buyers pay Land and Buildings Transaction Tax. In Wales they pay Land Transaction Tax. Each has its own rates and first-time buyer rules. Our guide to everything you need to know about stamp duty explains the standard rates.

Get a mortgage agreement in principle

Once you know your budget, ask your broker or lender for an agreement in principle (AIP). This confirms that, based on the information you have given, the lender is willing in principle to lend you a certain amount. An AIP typically lasts 60 to 90 days, depending on the lender. It can sometimes be extended. Sellers and estate agents take buyers with an AIP more seriously.

Research areas and start house hunting

Once you know what you can afford, think about where you want to live. Check:

• Transport links
• Crime levels
• Flood risk
• School catchment areas
• Local infrastructure and development plans
• Shops and other amenities

Our regional house price pages show recent prices across the UK. As a first-time buyer you have no sale price of your own to guide you, so compare similar homes on the market and recently sold to judge what you should pay.

Property portals are the best place to start looking. Register with local estate agents and tell them what you want, so that they contact you when a suitable home comes on the market. Online viewings can help you narrow down a shortlist before you visit in person.

House viewing tips

• Take your time. Do not feel rushed by other viewers or the owner. Get a feel for the home and whether you can picture living there. Spend time exploring the area, including shops and public transport.
• Ask questions. A viewing is your best chance to learn about the property, for example how long it has been on the market and what the neighbours are like.
• Inspect carefully. Look inside and out for hairline cracks, damp on walls and loose tiles. Ask about anything that concerns you, even if it seems minor.
• Work out the bills. Ask the owner or agent roughly what the utility bills and council tax are and check that you can afford them.

Our guide on what to consider when buying a house covers location, layout and condition in more detail.

Make an offer

Look at what similar homes nearby have sold for to judge what the property is worth. Many buyers offer below the asking price, but if other people are interested you may need to offer the asking price or more. A precise figure rather than a round number can sometimes help your offer stand out.

You can make your offer by telephone or in person, but confirm it by email so that there is a written record of the amount and when you offered. Mention anything that strengthens your position, such as being a first-time buyer with no chain and having an AIP. The agent will ask about your finances and timescale, then pass your offer to the seller. If the seller rejects it, you can negotiate or keep looking.

In England and Wales, either side can withdraw until contracts are exchanged without legal penalty. After exchange, the contract is legally binding and pulling out is very costly.

Once your offer is accepted

Apply for your mortgage

Make your full mortgage application as soon as your offer is accepted. Decide how long you want the mortgage to run and whether a fixed rate or a tracker rate suits you better.

Instruct a solicitor or conveyancer

A solicitor or licensed conveyancer handles the legal transfer of the property. Their work includes:

• Carrying out property searches
• Giving legal advice and checking the contract
• Dealing with HM Land Registry
• Transferring the money to pay for the property
• Filing the stamp duty return (Land and Buildings Transaction Tax in Scotland or Land Transaction Tax in Wales)
• Liaising with the seller’s solicitor, your lender and other parties

Your lender, broker or the seller’s estate agent may recommend a solicitor, but you are free to choose your own. Before you instruct one, ask how they will keep you updated, for example through an online portal, directly or through an administration team. Expect plenty of paperwork. Be prepared for setbacks, such as a seller withdrawing. Our guide to which searches are done when buying a house explains that stage. Our guide to the process of buying a house in England and Wales sets out the full timeline.

Get a survey

A survey is optional but usually worthwhile. It reports on the condition of the building and any structural problems. If it finds issues, you can ask the seller to fix them or negotiate the price. There are different levels of survey, so ask which suits the property. Our guide on how to negotiate the house price after a survey explains the next steps.

Book a removals company

If you have a lot to move, compare removals firms. Prices depend mainly on how much you are moving and how far. Check that the firm can work on your completion date before you book.

Exchange of contracts and insurance

Once the searches, survey and mortgage offer are in place, the solicitors exchange contracts and you pay your deposit. From that moment you are legally committed to buying, so if the house were damaged by fire or flood you would still have to complete. That is why most lenders require buildings insurance to start from exchange. Your lender will confirm when cover must begin. Contents insurance, life insurance, critical illness cover and income protection are not legal requirements, but they are worth considering.

Completion and moving day

Completion is the day the money is transferred and the home becomes yours. It often takes place around two weeks after exchange, but the date is agreed between the parties and can be sooner or later. The whole process from offer to completion commonly takes several months. It can take longer if you are in a chain.

On the day, you wait for the solicitors to transfer the funds. You may receive the keys at any time from mid-morning to late afternoon, depending on the chain. Your solicitor will tell you where to collect them. Our guide to what happens on completion day explains the steps.

In the days before the move, pack and label everything. Keep an essentials box to hand with tea and coffee, a kettle, toilet rolls, cleaning wipes, bin bags, phone chargers, a first aid kit and any medicines you take. Plan a simple meal for the first night. Our moving house checklist covers everything else.

When you come to sell

When you are ready to sell your first home and move on, enter your postcode on easyProperty to compare fee proposals from local high street and online estate agents side by side. It is free for sellers and carries no obligation. Our estate agent fees guide explains typical costs.