Seen House I like - what now? (Scotland)

HouseBuyer1

Hi there
I am a first time buyer in Scotland and totally new to this so looking for some help.

This morning I viewed a house I like and would like to offer on.

As in Scotland an offer is legally binding, I take it I need to go to the bank and secure a mortgage first then before I can offer? How long does this take (I also plan to use an independant broker).

I guess what I am struggling with is, in the English system you can get an Offer in principle and start making bids based on that and then secure your actual mortgage...whereas in Scotland you need to secure it first? Also what should I be securing it for? Should I be trying to get a mortgage for the highest offer I would like to make?

Thanks and apologies again as I am very new to this

GlynD

Really you should now talk to a conveyancing solicitor. They're very easy to find in Scotland. He/she will guide you through the Scottish system.

You're correct though. Once an offer is accepted verbally in Scotland you are obliged to buy.

If you publish what town or city you're in I'm sure you'll get a recommendation on solicitors.

HouseBuyer1

Would be in the North Lanarkshire / Glasgow area.

So would I approach a solicitor before I look to arrange a mortgage?

I am conscious of time as this property is just on the market and we are very interested and it appears many others too (there was another viewer when we were in, and also a few more today according to EA (although I know this could be talk)).

I have googled the purpose of a solicitor in the Scottish system and it has mentioned on a couple of sites they will be involved in the organising of a mortgage for you? Is this true? Is it through the solicitor we would make any offers?


Thanks for your help

GlynD

Go to the Glasgow Solicitors property website at http://www.gspc.co.uk/ and you'll find a list of conveyancing solicitors there. Make sure you do not pick the one which is representing the property for sale. Ask about making an offer on the property and request the closing date for the sale. (If it has a closing date). That'll give you time to get your mortgage sorted. The solicitor may have a financial advisor in-house or one they can recommend. When you have your mortage the solicitor will make your offer for you. He/she will also advise you about the size of your offer if the property is still on an "offers over" basis. If the property is on "overs over" you'll have to take your chance that your offer is the one which gets accepted.

HouseBuyer1

OK thanks I will check that site out.

So as far as I can see the next step for me is get a solicitor > notify of interest > survey > arrange a mortgage > offer?

GlynD

Only survey if you can arrange a mortgage. Also - before paying for a survey ask your solicitor if he knows of any other surveys on the property you're interested in buying. You might be able to purchase a copy and that's only around 20% of the full cost.

GlynD

Your solicitor will place a "note of interest" on the property until you can make an offer. That doesn't oblige you to purchase.

HouseBuyer1

Thanks so much for your help Glyn. I spent a while researching the process and it turns out I got to grips with all of the English system and so am a bit like a duck out of water now it comes to the Scottish one.

Thanks for your help

GlynD

You're very welcome. I had to go through the same thing myself when I lived in Scotland. Unfortunately my solicitor is in Edinburgh which is why I didn't recommend him. I know it wouldn't have made much odds but I thought you'd prefer a Glasgow one.

The Scottish system is actually much better. You can't get gazummped for a start. Once it's explained to you you'll feel more comfortable. The only thing you'll really find odd is the lack of a written contract. The contract is called "exchanging missives" and that is done verbally.

HouseBuyer1

Yeh I work in the City Centre as well so I think it would be handy having someone nearer. If you dont mind me asking, how long did it take you from contacting a solicitor to getting a formal offer in for consideration?

Yeh I think thats the main benefit I have seen anyway. It's just quite overwhelming.

Also what happens if I then get a solicitor and the property ends up being sold to someone else etc. before we make an offer? Or if our offer isnt enough? Isnt this a downside of the system as you effectively still have to pay a fee just to be in a position to make an offer?

poppy_f1

you might not even need another survey -some mortgage lenders will take the home report the seller has arranged