An estimated £113 billion-worth of homes are in the sales pipeline, marking the highest level of new sales agreed since autumn 2020, according to a property website. Zoopla said that across the UK, around 306,000 homes are working their way through the buying process to completion, 62,250 (26%) more than a year ago.
The website added that momentum in new sales remains strong and looks set to continue into December, supported by a high supply of homes for sale, with many of the most recent sales completing in the first half of 2025. Experts at award-winning homebuilder, St. Modwen Homes, say that being a first-time buyer can feel like a scary or daunting process – from big solicitor fees and liaising with estate agents to choosing the right mortgage provider, it can feel like a never-ending list of decisions to make.
First-time buyers looking for reassurance on the steps they need to take to avoid any potentially costly mistakes, should be aware of the most common pitfalls to avoid.
For instance, search volumes for ‘first-time buyer checklists’, ‘first-time buyer tips’ and ‘first-time buyer advice’ are all up by 5,000 per cent in the last 30 days on Google. From this, it’s clear that there is tremendous demand for guidance when it comes to purchasing your first property.
Top tips for first-time homebuyers
Experts at St. Modwen Homes share five mistakes first-time buyers make and how to sidestep them when purchasing a home in 2025.
Create a clear timeline and prepare accordingly Purchasing a home
At whatever stage in your life – is stressful, let alone as a first-time buyer. So, don’t make the process even more stressful by not preparing and understanding your move.
For example, spending time researching the different types of buying initiatives and mortgages available to you will not only improve your understanding of the market, but also help you to begin planning for household budgeting once you complete your purchase.
As you move closer to your exchange and completion dates, lining up things like van rental or removals assistance is crucial and liaising with internet and utility providers is a great idea to make sure you’re up and running in your new home quickly.
Skipping mortgage pre-approval
Many first-time buyers jump into the house-buying process without securing a pre-approved mortgage. Looking at houses to potentially buy without a pre-approved mortgage is like going into a shop without knowing how much money you’re able to spend. So, it’s important to have a mortgage in principle approved ahead of shopping around.
A pre-approved mortgage is based on the documentation a buyer provides, such as; proof of income; proof of assets and verifiable employment. Starting this process ahead of searching for your dream first home is crucial.
Not inspecting the property ahead of purchasing
The average Brit spent £562.10 on unexpected costs on their home this year, and so it’s important to try and avoid this as a first-time buyer – especially after you’ve most likely spent a lot of your savings on the deposit for your home.
Be sure to inspect the property you’re looking to buy to ensure there aren’t any issues that need fixing. Although it’s not legally required to get a survey done ahead of buying a house, taking this risk can lead to expensive consequences further down the line.
The average survey can cost anywhere between £400 and £1,500, the bigger the property the more expensive. However, fixing unforeseen issues in the property could cost more, so it’s something worth investing in.
However, there are smaller inspections you can check yourself when viewing the property, such as:
- Checking if there is condensation on the windows which can often mean poor insulation
- Reviewing the plumbing – run the taps, check the water pressure and see if the radiators reach a good temperature
- Signal – even in this day and age, poor mobile signal is possible, so while you’re there, check out the level of signal you receive
Compare, compare, compare
Going for the first mortgage provider you find can be a costly long-term mistake, you need to compare options and prices whilst obtaining multiple quotes before signing on the dotted line.
The key things to compare are:
- Interest rates – this is the primary factor in cost for a mortgage so try to get the lowest interest rate available to you
- Lookout for fees and charges – just because you see a lower interest rate, this doesn’t mean you’ll spend less money. So, be sure to check for hidden fees and costs
- Fixed vs Variable – make sure you’ve researched which type of mortgage you would like, whether that’s fixed where you know the exact interest rate, or variable which follows the market, both up and down
Stamp duty / Land and Buildings Transaction Tax
The tax varies depending on where you are buying. In England and Northern Ireland you pay Stamp Duty Land Tax (SDLT); in Scotland it is the Land and Buildings Transaction Tax (LBTT) and in Wales it is the Land Transaction Tax (LTT).
Most first-time buyers won’t have to pay stamp duty, which is lucky because this can cost anything between 5 per cent and 12 per cent of the overall property price, which, on top of a deposit, can be a large lump sum.
First-time buyers will only have to pay stamp duty if the property they’re looking to buy is over the £425,000 threshold. This should be easy to stay under, however, with property prices continuing to increase, and the average property price in London being £492,234 it’s important to take this into consideration.