New mortgage customers
Whether you're a first time buyer, buying a new home or looking for a new mortgage deal, we'll do our best to help!
Below is a handy guide for buying your home in England and Wales.
1 Sorting out your mortgage - make sure you do your mortgage home work!
Use our budget calculator to work out how much you can afford to pay each month on your mortgage. This will help you figure out your income and your regular outgoings. You can also look at how much you might be able to borrow with our how much could I borrow calculator. You can then consider what type of mortgage you would like, such as a fixed rate mortgage,discount mortgage or a tracker mortgage.
2 Apply for your mortgage in principle
You can call us or apply for one of our mortgages in our branches.
3 Make an offer on a property
Once you have found a suitable property, make an offer and agree a purchase price with the seller.
4 Make a full mortgage application
Once your offer is accepted by the seller, you can then complete your mortgage application. You should also instruct a solicitor or conveyancer. Make sure you have proof of your income and that of your partner if you are making a joint mortgage application. Usually you will be asked for 3 months of payslips and your latest P60 so make sure you have these ready.
5 Valuation or survey
A valuation of the property you are buying will be arranged through our surveyor. You will be able to choose from a range of survey types:
- Valuation: a basic check on the property that won't necessarily highlight areas that may cause concern.
- Home Buyers Report: This is a more detailed report and will cost a little more but can provide additional peace of mind.
- Structural survey: For older or an unusually built property, you may need to have a full structural survey carried out.
Once all the necessary details are in place and if these are satisfactory, a formal mortgage offer will be made to you.
6 Exchanging contracts
Once you and your solicitor are happy and your mortgage offer is in place, you are then ready to exchange contracts. Once the contract is signed and the deposit paid, your purchase is legally binding. Should you decide not to go ahead after this point, any deposit could be lost. You will need to have adequate insurance cover in place prior to completion.
7 Completing
At the time contracts are exchanged, a completion date will be agreed. This is the date when you officially become the owner of your new home and will receive the keys!
Costs to think about when arranging a mortgage
- Mortgage arrangement fees
- Product fees
- Legal fees (solicitor or conveyancer)
- Land Registry
- Valuation / Survey
- Local Authority searches
Stamp Duty
The following rates apply to stamp duty*.
- Up to £125,000 - 0%
- Over £125,000 to £250,000 - 1%
- Over £250,000 to £500,000 - 3%
- Over £500,000 - 4%
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* Current rates. These rates are subject to change by the government.
- Buildings / contents insurance - you can gain a no obligation quote for the buildings and contents insurance for your new home through Saffron Insure.
- Life / critical illness cover - if you want to find out more about life and critical illness protection you can speak with Saffron Independent Financial Advisers.
- Mortgage payment protection insurance - you can obtain a no obligation quote for protection for your mortgage by calling Saffron Direct.
When you have moved you should think about:
Furnishing and decoration
Connection of services such as telephones and broadband internet.
Inviting round your friends to see your new home!
