How To Clinch Your Ideal Home

Buying a property in London or any other booming city requires a steady hand and a brimming wallet. It may be an exciting time, but it can also be a nail-biting one as you queue up with other buyers to view properties.

The time taken from a home being advertised for sale to going under offer has fallen to its lowest level since 2007. In the last three months of 2013, it took, on average, less than eight and a half weeks to agree a price, almost two weeks less than in the same period of 2012.

As a buyer in a competitive market, it is important to be the most attractive candidate. The experts explain how:

1. Be Ready to Go: Tom Ward, our Director at aspire, says: "If you are looking to buy and have a property to sell, ensure you are under offer. In a fast-moving market, it is tempting to actively search for your onward purchase without even having your property listed. You will be competing with cash buyers and purchasers with nothing to sell, so you need to be able to proceed. When you have sold, ask your selling agent to contact the agent of your onward purchase, to verify your position via phone call and letter."
2. Play the Numbers Game: Chris Mullin, of Hamptons International, says: “Start your mortgage application and arrange your finances even before you have found a property on which you would like to offer. Talk to a broker who can find the best deal for you and manage your application on your behalf. Get an agreement in principle and provide the agent with proof of deposit funds.”
3. Check your credit file: David Hollingworth, of the mortgage broker London & Country, says: “Before you apply for a mortgage, get a copy of your credit report to check it’s all in order. An application can be held up if there is a problem, which often arises where mistake are made on credit records. Making sure it’s squeaky clean before you start means you are ready to apply.”
4. Cash buyer? Prove it . . . Ward says: “If you are fortunate to be able to buy without any borrowing, provide the agent with proof of these funds, you will be surprised how many people say they are cash buyers when it turns out they are not. They will not pass any proof on to to their client, but will certainly confirm to them that they have seen it.”
5. Be prepared for sealed bids: Sealed bids are common practice in cities where there is a lack of stock — and hordes of buyers. Ivor Campbell-Davys, of Chesterton Humberts estate agency, says: “When entering a sealed bid, write a letter to the vendor, accompanying your offer, explaining why you like their property and why it will make such a good home for your family.” Jimmy Carr, at Kinleigh Folkard & Hayward, agrees: “A nicely worded letter can often sway a decision. If you appear emotionally invested in the home, you’ll appear less likely to pull out of the sale.” It’s also important to get the price right. Sophie Norris, at Hamptons International, says: “Always offer a unique and individual price in sealed bids. You never know, it may come down to a mere £50 difference.”
6. Be flexible: Ward says: “Where you can, offer complete flexibility on time frames to the seller. Many sellers will forgo a substantial sum of money for the correct time frames to suit them.”
7. Avoid being gazumped: Sarah Beeny, television property expert and founder of Tepilo, the online estate agency, says: “When you do get an offer accepted, you should aim to exchange contracts as soon as possible. Don’t just assume people are working hard on your behalf, as it’s not always the case. Stay on top of things yourself from checking the valuation appointment to making sure you get your mortgage offer through quickly.
8. Fast-track your mortgage: Hollingworth says the best way to get a mortgage offer quickly is to make sure your paperwork is in order. He says: “You will need an up-to-date passport and driving licence showing your current home address. Then make sure you have at least the last three months payslips and a P60. If you are self-employed, you will need an SA302 form or accounts for as much as the last three years. You will need original copies of the SA302 form from the Revenue [Revenue & Customs] so apply well in advance to avoid delays. Lastly, be prepared for an affordability check, which means detailing all your monthly outgoings.
9. Don’t overstretch yourself: Kate Faulkner, of Propertychecklists.co.uk, the property advice website, warns: “If you allow yourself to get carried away, you run the risk of overstretching yourself. It’s much better to move to a cheaper, less popular area, than risk losing your property because interest rates end up doubling your mortgage payments, so you can’t afford to go out or even keep the property.
10. Buying in a quiet area?: The housing recovery is yet to reach many parts of the UK, which are still experiencing a slow market. Beeny says: “You can take your time a little more when the competition is not so hot. Make sure you do your homework on why a property hasn’t sold, if it has been on the market for a while. You can then perhaps be in a position to make an offer under asking price. It also puts you in a better position when negotiating over any work that needs to be done.”
Paul Harris, of Fine & Country, says: “In a slower market, sellers are more likely to sell to a buyer who they can relate to and would want to see living in their home, so be courteous when viewing a property and get to know the seller, after all, you are buying their most personal prized possession.”