United Kingdom — Property: Buying Process

Why this matters

A thorough understanding of the UK property buying process is crucial for a smooth and stress-free relocation, preventing costly mistakes and delays.

Key facts

• Single-property SDLT bands: 0% up to GBP 125,000, 2% from GBP 125,001 to GBP 250,000, 5% from GBP 250,001 to GBP 925,000, 10% from GBP 925,001 to GBP 1.5 million and 12% above GBP 1.5 million.
• GOV.UK says you usually pay 5% on top of these rates if you own another residential property.
• You usually pay a 2% surcharge if you are buying residential property in England or Northern Ireland as a non-UK resident.
• You count as non-UK resident if you were not present in the UK for at least 183 days in the 12 months before your purchase.

Steps

1. Step 1: Find a Property and Make an Offer — This involves working with a real estate agent to find the desired property and making an offer, which can be made verbally or in writing.
2. Step 2: Instruct a Solicitor and Conduct Searches — The buyer will instruct a solicitor to conduct the necessary searches and due diligence on the property, including a search of the property's title and any outstanding debts or charges.
3. Step 3: Secure a Mortgage (if applicable) — If the buyer is taking out a mortgage, they will need to secure a mortgage offer before exchanging contracts.
4. Step 4: Exchange Contracts — Once the seller has completed the necessary searches and due diligence, the buyer's solicitor will exchange contracts with the seller's solicitor, committing the buyer to purchasing the property.
5. Step 5: Complete the Purchase — A few days after exchanging contracts, the buyer will complete the purchase by paying the balance of the purchase price and completing the transfer of ownership.