There are plenty of reasons why you'd want or need to travel to the UK often. There's business since the UK is a powerhouse country with lots of big money. There's tourism with all the amazing sights this place has to offer. And there's your family and friends who you'd want to see often. All these and more are good enough reasons to not just visit the UK but actually own property here
. Buying real estate in this country is a good investment but before you start, you ought to learn more about the process and gain a few helpful tips!
Your Residency Status Doesn't Matter
Firstly, you ought to know that your residency status doesn't have anything to do with buying and owning real estate in the United Kingdom. As of this writing, there are no British laws that prohibit foreigners from purchasing properties in the country. So no, you don't have to relocate to London
in order to own a home here. If you plan to buy a place in Manchester, you can do that without having to move here. You can just as easily use these as your second home or even rent them out. But that, however, comes with a few costs of its own.
Get To Know A Solicitor Before Hiring Them
Part of buying a new property in the UK is, of course, hiring a solicitor. You can't proceed with the purchasing process without one. With that said, you'd do well to get to know a potential solicitor before hiring them. Why? Because their role is bigger than you probably think it is. Once you hire a solicitor, they will serve as both your legal advisor and legal representation throughout the entire sales process. At times, you'll even hand them most of your money to pay the necessary taxes
, fees, and more. With such an important role, the solicitor you hire ought to be someone you can trust 100%.
Prepare All The Important Documents
Before you start the purchasing process, you'd do well to prepare your documents already. More often than not, it's getting all these important papers ready that prolongs the process. So what do you need anyway? Well, they include proof of identification (valid passport, driver's license, EEA member state identity card, etc.), proof of address (bank/credit statements, recent utility bills, lease contract), and proof of source of funds (your last three months' payslips or employment contract). In some instances, you also have to prepare your mortgage loan too. Fortunately, the documents needed to get a mortgage in the UK are pretty similar already.
There are Lots of Searches and Surveys You Need to Get Done
Remember that you'll be investing a lot of money in getting real estate in the United Kingdom. It's only natural that this process comes with a good number of surveys and searches. The first one is the HM Land Registry search, wherein your solicitor will make sure that the seller is, in fact, the legal owner of the property you're planning to buy. There's also the Local Authority search, which provides important info about the area where the property is located. Then comes the surveys, in which specialists check out the place to see if it's ready for selling.
Make The Right Offer
One of the most important parts is making the offer as it will determine how much you'll need to pay in the end. Most of the time, this is the official first step in the purchasing process. When you decide on a certain property, it will most likely already come with an initial asking price set by the seller. You, as the potential buyer, have the right to negotiate a different price that's either lower or higher than what was initially set. Do note, however, that the seller's initial asking price is the result of the property valuation. Don't negotiate a price that's too far off the initial figure!
Signing The Memorandum of Sale
Once you and the seller have settled on a final price, it's time to sign the memorandum of sale. Do note that this does not serve as a sales contract of any kind. But it makes the property at hand a “sold to contract“ or STC. For the buyer, this means that you have now laid out your intention to purchase the contract and have shown the seller proof of your fund to complete it. It's not technically legally binding, but it is common for both parties to treat it as such. For your benefit, it lets other potential buyers know that you have already “reserved“ the place for yourself.
Dealing with The Mortgage
When you intend to buy a new property in the UK, you'll have to deal with the mortgage here too. And not just your own! Of course, when you need financial assistance in purchasing real estate in the United Kingdom, getting a mortgage loan is the best way to go about it. It's even easier if you already have a local bank account
in the country. But in some cases, the property you're eyeing might still have the current owner's mortgage still attached to it. And while it's the seller's job to take care of it, your solicitor can also help in this aspect.
Buying a property in the UK can get pretty complicated at times. There's a lot you need to remember about the process and how you can go about it without any hassle. Let these tips help you out with this endeavor!