Help and Instructions

YELLOW APRICOT WORKING FOR FIRST TIME BUYERS

There is nothing more daunting than trying to buy your first property. You have estate agents often pestering you, financial advisers wanting to get you a mortgage before you have even found a property and all sorts of people telling you what to do.

At Yellow Apricot, there are 10 easy steps to buying a property at Auction:

1. Maximum Mortgage - work out the maximum mortgage that you can get. This is normally 3 times your income if you are going to buy on your own or 2.5 times joint income if you are buying jointly.e.g. £10000 p.a. single income = £30000 maximum mortgage£10000 + £15000 two incomes = £25000 x 2.5 = £62500 maximum mortgage
2. Maximum Purchase Price - work out your maximum purchase price based on your maximum mortgage using the formula
   Maximum Purchase Price = Maximum Mortgage x 1.1
   e.g. £30000 x 1.1 = £33000
   £62500 x 1.1 = £68750
3. Calculate your minimum deposit - this will be 10%
   e.g. 33000-30000= £3000
   68750-62500+£6250
4. Do a reality check - ensure that the figures calculated are realistic given what you are looking for. For example, you will need to pay the balance between the price at which you wish to buy a property and the maximum mortgage from your own funds, meaning a larger deposit may be required.
5. Research - Look at the guide prices at the forthcoming Yellow Apricot Auction. Get a valuation done in good time on the property that you are interested in bidding on. Make sure you take appropriate legal and professional advice and read the legal paperwork and the Auction catalogue terms and conditions and all other relevant information. Ensure you have finance in place to complete the transaction 28 days after the Auction.
6. Registration - make sure you register to bid at the next Yellow Apricot Auction using the simple step to step guide on the website.
7. Bid at Auction - make a bid at the Auction up to your maximum, taking account of the fact that you need a 10% deposit in cleared funds on the day of the Auction. Otherwise you will not secure the property. You also need to pay the Bidders Documentation Charge.
8. Memorandum of Sale - ensure this is returned to Yellow Apricot within 1 hour of receiving it.
9. Completion of Sale - you will normally get the keys 28 days after Auction day. Take the Memorandum of Sale straight to your Solicitor and go and see your financial adviser urgently.
10. 28 days later - Congratulations - you have just bought a property through Yellow Apricot. Its as simple as that!

« back