You have been house hunting for months, maybe even years and you finally have your offer accepted. So what’s next?
At doddl, we will be there to help you every step of the way. We have helped thousands of homeowners draw down their mortgage and get the keys to their new home. We will ensure you get there too!
Going sale agreed -
Sale agreed means that the vendor (person or developer selling the house) has accepted your offer.
When sale agreed you will be asked to pay a booking deposit and provide details of your solicitor.
Booking deposits can range from €5,000 to €10,000 and above this depending on the value of the property.
Your booking deposit forms part of your 10% deposit which is the minimum deposit requirement of mortgage purposes.
Once booking deposit is paid the property will be marked sale agreed and should not be marketed further. Booking deposit should be fully refundable until you sign contracts.
Being sale agreed is not legally binding on either party, it is just the first step in the process.
Next up is signing contracts -
Once we have your valuation report, solicitor details and have confirmed your mortgage requirements, rate, term we will request formal approval and loan offer from your chosen lender. Remember at doddl we work with all major lenders and offer lowest market rates, cashback offers, deferred payment periods, overpayment options – everything you need!
Once your loan offer is issued and your solicitor has received contracts and carried out all their due diligence and has all queries answered they will arrange to meet you to sign contracts.
Once you sign contracts you will need to pay a further deposit called a contract deposit. This is generally 10% less what you have paid already as booking deposit so for example Purchase Price €400,000, booking deposit paid €5,000 you would need to pay over €35,000 at time of signing contracts. If you are using the help to buy and eligible for full amount then €30,000 would be paid from help to buy so you would only need to pay over €5,000 towards contract deposit.
Once you sign contracts the purchase is binding once counter signed contracts are received as such before you sign contracts it is hugely important that you are satisfied that you want to and can progress with purchase.
It is worth discussing with your solicitor whether you can or should include a ‘subject to funding’ clause in contract. This should mean that if you could not execute the purchase due to an issue with funding that you do not lose your deposit. Definitely get advice on this from your solicitor.
Set a closing date!
Once a closing date (the day you get your keys) is set your solicitor will notify you and you will speak with our team at doddl to commence life and home insurance and to ensure all completion items such as direct debit mandate, deed of assignment of life etc are complete and with the bank.
Our team at doddl will work closely with your solicitor and the bank to ensure smooth draw down of funds, generally c. 3 working days before the closing date. This is because the funds have to be with your solicitor for closing and transfer to vendors solicitor.
Once final due diligence has been carried out by your solicitor and funds transferred to the vendors solicitor you will be in a position to collect your long awaited keys!
As a general timeline, at doddl our clients who were purchasing a second hand home closed on average 6 weeks after their loan offer issued and for new builds it was 8 weeks. This involves teamwork – you, your solicitor and our team at doddl working closely together to push the process forward and get you in your new home.
It can be a long journey but one that all our clients feel is worthwhile the minute they turn the lock to their new home. It is always a proud moment and in the current market it is a huge accomplishment.
We love working with our clients on their home buying journey, clients come to us for a mortgage but really what they want to do is buy a home and we never lose sight oft that.
If you would like help and support through your home buying journey then we are here to help. Start now by providing us with some information and your mortgage advisor will then contact you within 48 hours – Start your mortgage journey here!
