Our step-by-step guide to buying your first home
Buying your first home is an exciting, life-changing time. There’s a lot to think about, and it can feel like a lot to take in. That’s why we’ve created this step-by-step guide — to help you feel confident, supported, and ready for what’s ahead.
Just getting started
Ready to take the next step
- Step 3. Get a Decision in Principle
- Step 4. Apply for a mortgage with us
- Step 5. Your mortgage offer
- Step 6. Exchanging contracts and completion
- Step 7. Understanding your first mortgage payment
Step 1. Getting purchase ready
Review your finances
Buying your first home is a big step, and there’s a lot to think about. The first step you’ll want to take is reviewing your finances to make sure you’re ready when you find the perfect property.
Consider things that will improve your chances of getting a mortgage, such as your deposit amount and credit rating.
Understanding the costs involved in buying your first home:
You'll also need to consider other extra costs when buying a home like mortgage product fees, solicitors fees, property surveys, stamp duty and moving home costs.
You can check out stamp duty costs and rules on the Gov.uk website (opens in a new window).
Stamp Duty
A tax you pay when buying a home. First-time buyers don’t pay it on homes up to £300,000. If the price is £300,001–£500,000, you pay 5% on the part above £300,000.
Solicitors fees
You’ll normally instruct a solicitor to act on your behalf in connection with your purchase. You may be required to pay legal fees and costs as part of their work on your behalf. Solicitor’s are also known as conveyancers.
Moving home costs
There are likely to be costs involved when moving home. This could be the cost of hiring a professional moving company, or hiring a van to move yourself, and buying packing materials.
Surveys
Home Surveys check the condition of the home before you buy it. They'll find defects and repair work. They can give you a good idea of any further costs for repairs you might have to pay when buying your property.
Mortgage product fees
This is charged on some mortgages as part of the deal. It can be paid up-front or added to the total mortgage amount. If you add it to your mortgage, you’ll pay interest on it at the same rate as the rest of your borrowing. We’ll show the lowest cost overall first.
Find out how much you can afford and what you may be able to borrow.
Check your income against your outgoings. Include bills, regular spending, and any debts. This shows how much money you have left each month.
Our mortgage calculator will give you an idea of what you might be able to borrow, based on things like income, deposit and property value.
You can also compare mortgage rates and find the perfect deal using our mortgage rates finder.
How much can I borrow?
Our mortgage calculator will give you a rough idea of what you could borrow. It will ask for your main income details, an estimate of the property value and your deposit amount.
Compare mortgage rates
Compare our mortgage rates for first-time buyers and find the mortgage deal that’s right for you.
We can help if you need to borrow more
We can offer different ways to help you
Helping Hand
More about our helping hand mortgageBorrow up to 33% more - 6 times your income - with either a 5 or 10 year fixed rate mortgage. Conditions apply.
95% Mortgages
More about 95% mortgagesSaving for a deposit can be hard. That's why we offer first time buyer mortgages up to 95% loan to value (LTV).
Affordable home schemes
Learn about affordable home schemesNot sure you can afford to buy your first home? You might be able to apply for a mortgage using an affordable home ownership scheme.
Step 2. Deposits and how you can save for one
Your deposit
The size of your deposit affects how much of a mortgage loan you’ll need. For most first-time buyer mortgages, you need a deposit of at least 5% of the price of the property you want to buy.
The bigger the deposit, the better access you’ll have to lower rates, and lower monthly payments.
Step 4. Apply for a mortgage with us
Book a meeting with a mortgage adviser
There are two ways of booking an appointment with our mortgage advisers:
During your Decision in Principle application
During your online Decision in Principle application you will be given the option to book an appointment with a mortgage adviser. Or, you can continue without advice and apply online.
By calling us
Call us on 0345 609 25 30 Monday to Friday, 8am to 6pm. Saturday, 8.30am to 4pm. Closed Sundays and bank holidays.
You can choose to have a meeting over the phone, or video call.
If you choose to apply through one of our mortgage advisers, they’ll support you every step of the way. They’ll ask questions to understand your financial situation and offer recommendations and advise on what the next steps are.
They’ll also let you know what information and documents you'll need to provide when applying, including what you need if you’re self-employed or a contractor.
Apply online
If you apply without advice online, you’ll be able to see and choose from our mortgage rates including the fee information, during your online application.
What happens when you apply for a mortgage
Credit checks
Find out about what credit checks are and what’s involvedWe’ll run a full credit check. At this stage, because this is a formal mortgage loan application, it will leave a footprint on your credit file.
Financial documents
We’ll ask for financial documents like bank statements, payslips and HM Revenue and Customs (HMRC) documents if you’re self-employed.
For the full list of documents, including those for non-UK / Irish nationals, please see our application proofs guide.
Mortgage valuation
As part of your mortgage application, we’ll carry out a valuation to check the property is worth the price you're paying. This is free of charge, but it doesn’t assess the condition of the property.
If you’d like a more detailed inspection, you can choose a Home Survey Level 2 (Homebuyers Report) or Level 3 (Full Building Survey). These are more thorough and come at an extra cost, which can vary by region.
You can find full details on what mortgage valuations and home surveys cover on our mortgage valuation and home survey page.
Finding a solicitor
If you're making an offer on a property in England, Wales or Northern Ireland you’ll be asked to provide your solicitor’s details.
A solicitor, otherwise known as a conveyancer, handles all of the legal work required to complete the purchase of your home.
You can find a conveyancer by contacting either:
The Law Society (link opens in a new window)
The Council of Licensed Conveyancers (link opens in a new window)
Remember to get a quote first before appointing anyone.
Step 5. Your mortgage offer
Receiving your mortgage offer
Once your mortgage has been approved, we’ll send your mortgage offer to you in the post. It’s an exciting time and is the official confirmation that your mortgage is ready to go.
You’ll find all the key details, like:
- How much you’re borrowing
- Your interest rate and type (fixed or variable)
- Your monthly repayments
- How long your mortgage lasts
You should take your time to check all the information matches your expectations. If you’re unsure about anything, one of our mortgage advisers will be happy to help.
Accepting your mortgage offer
Once you’ve read through your offer and you’re happy with everything, it’s time to accept it and that brings you one step closer to getting the keys. Here’s what happens next:
- Sign the paperwork that came with your offer and send it back to us.
- Let your solicitor know — they’ll use the offer to get everything ready for exchange and completion.
- Keep an eye on the expiry date.
Step 6. Exchanging contracts and completion
Exchange of contracts
Once you’ve accepted your mortgage offer, your solicitor will begin the final steps of your home purchase. This includes agreeing a date to exchange contracts with the seller’s solicitor. The contract confirms what you’re buying, what’s included in the price, and any terms and conditions you’ve both agreed to.
Your solicitor will send you the contract once everything’s ready. You might need a witness to be present when you sign.
It’s best to return it promptly so things can keep moving without delay.
Get insurance to protect you and your home
You’ll need to have buildings insurance in place from your completion date. It covers you financially for damage to your home.
At the end of your mortgage application, we’ll offer a quote for Nationwide home insurance, or you can choose a provider that suits you.
If choose us, you can get a quote for buildings, contents, or both combined.
You should also consider life insurance or critical illness cover to help protect you and your family if the unexpected happens.
Step 7. Understanding your first mortgage payment
Your first payment
On or after your completion date, you can log in to Mortgage Manager to see how much your first mortgage payment will be and when it will be taken.
We’ll also send this information in a letter, which you should receive 5 to 7 working days after completion.
Your first payment will usually be more than your regular monthly payment. This is because it includes interest for the days between the date you moved in and the end of that month, plus your standard monthly payment for the following month.
You can continue using Mortgage Manager to view your balance, track the estimated value of your property, and manage your payments.
Check your first mortgage payment in Mortgage Manager
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Important:
Mortgages are subject to underwriting and criteria. Minimum age 18, UK residents only.