The Big Picture: Six Milestones to Completion
Picture the whole transaction as a line with a fixed order: agree on the unit and price, sign the Provisional Agreement, both sides' solicitors run title searches and draft the formal agreement, the buyer applies for a mortgage, the formal Agreement is signed, and on completion day the keys change hands.
Every milestone has three things: who does it, how long it takes, and what money is paid. The estate agent matches parties and coordinates the timetable; solicitors handle documents and title; the bank handles mortgage approval; and you make decisions and payments. Any delay by one party pushes everything back.
Offer and the Provisional Agreement: Write the Terms Down
An offer is more than “how much to counter at”: it includes the completion period, whether fittings and appliances are included, and whether the seller needs to accommodate particular dates. These verbal understandings must land in the Provisional Agreement — gaps discovered after signing are painful to fix.
The provisional agreement normally follows a template supplied by the agent, covering the price, deposit arrangement, completion period and each side's responsibilities. Read it clause by clause before signing, especially how and when the deposit is paid and the real consequences of breach clauses.
Important: the provisional agreement is legally binding — it is not a letter of intent you can walk away from. Raise questions with a solicitor before signing, not after.
Title Searches, Mortgage and the Formal Agreement
After the provisional agreement, both sides' solicitors run title searches: confirming the seller's right to sell, any undischarged mortgages, unauthorised structures or unresolved encumbrances. This is the single most important protection for the buyer.
Meanwhile the buyer starts the mortgage application. The bank arranges valuation and assesses income and repayment capacity before issuing approval. Approval time directly affects whether the completion deadline can be met, so start early.
Only after the searches and mortgage are settled is the formal Agreement for Sale and Purchase signed. It fixes the completion date, payment terms, condition of handover and liability for breach — and both sides then proceed by this document.
Where the Money Falls on the Timeline
The cost of buying is not one payment but several: the deposit at the provisional agreement, a further part on signing the formal agreement, and the balance on completion day. Add stamp duty, legal fees, agency commission, and the bank's valuation and related charges.
Stamp duty is charged at progressive rates on the price or value of the property; for the actual rates, reliefs and calculation, follow the Inland Revenue Department's latest announcements. This cost directly shapes your down-payment planning, so run the numbers at your target price before offering.
Down payment + stamp duty + legal fees + commission + moving and fit-out — that sum is the real cost of entry; looking at the down payment alone understates it easily.
The Three Most Common Sticking Points
First, mortgage approval slipping past the completion date. The completion date is a hard date in the contract; approval delays put you in a passive position, so get a pre-assessment of your borrowing capacity before signing the provisional agreement.
Second, a gap between the bank's valuation and the agreed price. The bank lends against its valuation; if it comes in below the price, you must make up the difference in cash.
Third, problems surfacing in the title searches. Undischarged mortgages, unauthorised alterations or unclear ownership can kill the deal or force a renegotiation — exactly why you should never skip the searches to save on legal fees.
Next Step: Fix the Budget and the District First
The process is fixed, but “where and how big to buy” depends on your budget and living radius. Start from price levels and commute conditions across neighbourhoods, work back to what you can afford, and only then compare specific units — far more efficient.
If you want a shortlist first, use a matching tool: enter your budget, commute and preferences to narrow down to a few neighbourhoods, then view flats on the ground.