Top Tips for First-Time Home Buyers: Essential Advice for New Homeowners

Buying your first home involves more than finding the deposit. You also need to budget for legal work, searches, surveys, mortgage fees, Land Registry charges, moving costs and any Stamp Duty Land Tax (SDLT) due. Halifax’s 2024 analysis found an average first-time buyer deposit of £61,090, an average purchase price of £311,034 and an average buyer age of 33.

Work out what you can comfortably afford

A lender’s maximum offer is not necessarily the amount you should borrow. Consider how repayments would look if your interest rate increased after an initial fixed period.

A Lifetime ISA can help eligible first-time buyers. You can contribute up to £4,000 each tax year and receive a 25% government bonus, worth up to £1,000 annually. To use it for a first home without a withdrawal charge, the property must cost £450,000 or less and you must have made your first payment into the account at least 12 months earlier. Check the GOV.UK Lifetime ISA page.

Once your offer is accepted, our guide to conveyancing for first-time buyers explains the next stages.

Budget for the costs around your deposit

Costs vary by property, lender and provider, so obtain individual quotes.

Cost	Typical consideration
Conveyancing	Legal fee plus searches and other disbursements
Property searches	Usually paid early in the transaction
Home survey	Cost depends on property and survey level
Mortgage fee	May be £0 or charged upfront/added to the loan
Land Registry fee	Depends on value and application type
Removals	Depends on distance and amount being moved

For common electronic transfers of a whole registered title, current HM Land Registry Scale 1 fees range from £20 to £500 depending on value. Different transactions can attract different fees. See our breakdown of conveyancing costs and guidance on choosing a conveyancing solicitor.

Understand first-time buyer stamp duty relief

In England and Northern Ireland, eligible first-time buyers currently pay no SDLT on the first £300,000 and 5% on the portion from £300,001 to £500,000. If the purchase price exceeds £500,000, first-time buyer relief is unavailable and normal residential rates apply.

Purchase price	First-time buyer SDLT
£300,000	£0
£350,000	£2,500
£450,000	£7,500
£500,000	£10,000
£510,000	£15,500

Use the HMRC stamp duty calculator and read our tips on stamp duty land tax.

Check the property as well as the price

Flats are generally leasehold. Review the lease term, service charges and any ground rent carefully. Under current rules, the cost of a statutory lease extension can rise significantly once a lease has 80 years or fewer remaining because marriage value can apply. See leasehold and freehold ownership, hidden leasehold costs and our guide to buying a new build home.

A mortgage valuation is for the lender and is not a home survey. Consider an independent survey to assess the property’s condition. Read about the importance of property surveys, property searches in a transaction and restrictive covenants.

Buying with someone else

Halifax reported that 62% of first-time buyer mortgage completions in 2024 involved two or more names. Joint buyers should decide whether their beneficial interests are held as joint tenants or tenants in common. Tenants in common can hold unequal shares, which may be recorded in a trust deed. Our guide to deeds of trust in joint ownership explains the options.

Related support is also available from our family law solicitors, child custody solicitors in Sheffield and for a lasting power of attorney.

Frequently asked questions

When does buying a house become legally binding?

In a standard England and Wales transaction, either party can normally withdraw before exchange of contracts. Exchange makes the transaction legally binding, unless a separate binding agreement has been entered into earlier. See preparing for exchange of contracts.

Is gazumping legal?

Yes, before exchange a seller can generally accept another offer. Our guide to gazumping and gazundering explains the position.

How can I reduce conveyancing delays?

Provide ID, evidence of your deposit and mortgage information promptly, and respond quickly to enquiries. See handling property chain delays and protecting your deposit during conveyancing.

Ready to start?

Athi Law’s conveyancing solicitors assist first-time buyers across Sheffield, Dronfield and West Bromwich. You can get in touch with our team for a conveyancing quote.