General Questions

Question 1

What is a mortgage?

Accepted Answer

A mortgage is a loan used to purchase a property. It is secured against the property itself, meaning the lender holds a legal claim over the property until the loan is repaid. Bricks&Logic have partnered with Mortgage Advice Bureau who are one of the UK's leading mortgage brokers.

Question 2

How do I get a mortgage?

Accepted Answer

Most high street banks and many specialist lenders offer residential mortgages. You can apply directly via the lenders website, via price comparison websites which can help you find the cheapest rate, or via a mortgage broker who can provide advice on both the type of mortgage and the best lenders. Bricks&Logic have partnered with Mortgage Advice Bureau who are one of the UK's leading mortgage brokers.

Question 3

How long does a mortgage application take?

Accepted Answer

Mortgage Applications typically take a matter of weeks but this will vary greatly depending on the lender, the property, the sum required and a host of other conditions. A specialist mortgage broker may provide more accurate estimates. Bricks&Logic have partnered with Mortgage Advice Bureau who are one of the UK's leading mortgage brokers.

Question 4

How much can I borrow?

Accepted Answer

Lenders typically assess borrowing capacity by looking at your income, outgoings, and employment stability. A common rule of thumb is that you can borrow up to 4.5 times your annual income, but this isn't a guarantee and individual circumstances can impact the final amount. Factors like existing debts, spending habits, and mortgage deposit size also influence affordability. A mortgage broker can provide advice on this and other aspects of your mortgage application. Bricks&Logic have partnered with Mortgage Advice Bureau who are one of the UK's leading mortgage brokers.

Question 5

What property can I afford?

Accepted Answer

When purchasing a property, it is important to budget for the additional costs other than the purchase price. These typically include stamp duty which is the tax paid to the Government when purchasing and professional fees which are typically for the conveyancing. If you are getting a mortgage, you will need to consider how much your lender is willing to lend and you and ensure you have your mortgage deposit alongside all the other costs.

Question 6

How do property auctions work?

Accepted Answer

Property auctions involve potential buyers bidding on properties in a public setting, with the highest bidder winning if their offer exceeds the reserve price. Auctions can be held in either a traditional setting where the bidders or their representatives are present in the room or via an online portal which allows the bidders to participate remotely from anywhere with internet access. In general auctions can be classified as either conditional or unconditional. Conditional auctions allow the sale to be subject to certain conditions post-auction such as passing a survey or arranging finance. In an unconditional auction, contracts are exchanged as the auctioneer strikes the gavel. A modern or online property auction is a method of selling property where bidding takes place entirely online, often through a dedicated online platform. It's similar to a traditional auction, but bidders don't need to be physically present and can participate remotely from anywhere with internet access.

Question 7

Can you sell property after probate?

Accepted Answer

Property can be sold after obtaining probate. The Grant of Probate gives the executor the legal right to deal with the deceased's estate, including selling assets like property.

Question 8

How can I tell if the property is leasehold or freehold?

Accepted Answer

In England& Wales, the Land Registry is the official record of ownership of land and property. Their website will provide information on whether a property is leasehold or freehold. If the property is for sale, you check the listing details as it is a requirement for the seller to provide such basic information at the outset. If you are considering buying a property, your solicitor will confirm the tenure information very early in the process.

Question 9

How is a property valuation done?

Accepted Answer

A property valuation is a determination of the likely value of a property and can only be carried out by a certified Royal Institution of Chartered Surveyors member. A valuation is carried out by examining the property and comparing it those which have recently sold nearby. Allowing for small differences between the properties and the changing market over time a likely value can be determined. In essence this is exactly what an estate agent does when providing a market appraisal and the key difference is that a valuation can only be provided by a chartered surveyor. At Bricks&Logic we also use exactly the same methods, but we use public data as our descriptions for every property. As a result our value estimates are only estimated based on the best available public data. In our blog: 'How to value my property', we examine in detail not only the common metric of pound per square foot but also how the size of the property and how the local land value affects it's valuation.

Question 10

What is an an early repayment charge?

Accepted Answer

An early repayment charge is a fee you may be charged by your mortgage lender if you pay off your mortgage early or make overpayments above your allowed limit before your current mortgage deal ends. This charge is the compensation for the lender for interest lost due to repayment earlier than agreed.

Question 11

What is an allowed annual overpayment limit on a mortgage?

Accepted Answer

If you have a fixed-rate mortgage, you'll likely have an annual overpayment allowance, which is the amount you can overpay each year without incurring any early repayment charges. The maximum allowed overpayment will be set out clearly in your mortgage documentation.

Question 12

How often do interest rates change?

Accepted Answer

Interest rates on loans, mortgages, credit cards and savings deposits are set by the relevant financial institution and can be changed at their discretion. However, most rate changes follow a change in the Bank of England base rate which is the interest rate paid by banks to borrow money from the state. The Bank of England Monetary Policy Committee meets once per six weeks to discuss possible changes to the base rate.

Question 13

How much deposit do I need?

Accepted Answer

When purchasing property with a mortgage, most lenders will require the buyer to have some cash to put toward the purchase. This contribution is known as a mortgage deposit. The amount required depends on the lender, your financial circumstances and credit history. As a rule of thumb, 10% to 20% of the purchase price is considered normal for a first time purchase.

Question 14

How much is stamp duty?

Accepted Answer

Stamp duty is the tax you pay when you purchase a property above a specific minimum price. At the time of writing, stamp duty in England, Wales & Northern Ireland ranges from 5-12% of the purchase price for your first property and if you own multiple properties, an additional surcharge will normally apply.

Question 15

Can my landlord increase my rent?

Accepted Answer

Tenancies in the UK are governed by the tenancy agreement between landlord and tenant and the relevant legislation. At the time of writing, a landlord may increase the rent at the start of a new tenancy without limitation. Within an active tenancy, changes to the rent will either be prohibited or likely limited in some way. In our blog: 'London Rent Prices Over the Last Decade', we looked at the changing rental values across England and Wales over the last ten years.

Question 16

Can my landlord evict me?

Accepted Answer

In the UK, a landlord cannot force you to leave your home unless they have obtained a possession order from a court and a warrant for eviction. This process ensures that tenants are protected from illegal eviction and harassment. Landlords must follow a strict legal process, which includes giving you proper notice and then seeking a court order to retake possession.

Question 17

What are my responsibilities as a tenant?

Accepted Answer

As a tenant, your responsibilities will be clearly laid out in your tenancy agreement. Normally these responsibilities include the prompt payment of rent, maintaining the property in a clean and habitable condition, being considerate to neighbours and allowing reasonable access for repairs and inspections.

Question 18

Can letting agents charge fees?

Accepted Answer

In England & Wales, the Tenant Fees Act 2019 generally prevents letting agents from charging fees to tenants. The main exception to this prohibition are administrative fees chargeable when a tenant wishes to alter the tenancy agreement. Holding deposits and tenancy deposits are deposits and not fees, and are therefore not prohibited. The 2019 act applies to all tenancies in the private rented sector that started on or after 1st June 2019.

Question 19

Can my landlord keep my deposit?

Accepted Answer

Tenancy deposits are normally returned in their entirety at the end of a tenancy. In the event the tenant has caused damages to the property then the landlord can use the deposit to fund repairs. Similarly, if the tenant has unpaid rent or the landlord has suffered any other loss caused by the tenant then up to 100% of the deposit can be withheld. The landlord must supply their reasons and estimations in writing for any deductions to the deposit. Since 2007, the deposit must be placed in a Protected Scheme for the entirety of the tenancy.

Question 20

What is Council Tax?

Accepted Answer

Council tax is a system of local taxation and is collected and used to fund local councils. It is a tax on domestic property, paid by the resident and the amount payable is proportionate to the approximate value of the property. Some property is exempt from council tax, some people don't have to pay council tax and some people get a discount.

Question 21

What is Inflation Adjustment?

Accepted Answer

Inflation is the gradual increase in the costs of goods and services over time. Very high inflation is extremely damaging for an economy and economists generally believe that very low or zero inflation is also damaging. Adjusting any metric for inflation means removing the effects of inflation from that price. This allows a 'real' change in that value or price to be assessed over time. In our blog: 'The UK Housing Market Since the Mini Budget', we compare the changes in the housing market since the mini-budget in absolute (unaltered) and real (inflation adjusted) terms.

Question 22

What is an interest rate?

Accepted Answer

An interest rate is a fee charged by a lender to a borrower expressed as a percentage of the amount borrowed. While a lender can offer a loan at any rate they like, they are generally set as a margin above the Bank of England's base-rate, which is the rate at which the Central Bank lends money to other banks. The Bank of England makes rate decisions every 6 weeks and raising the rate acts as a dampener on the economy as money becomes more expensive to borrow. The margin above the base-rate charged by the lending bank is the fee that bank wants for the risk of lending the money onwards from the Bank of England to the borrower.

Question 23

What is rental yield?

Accepted Answer

Annual rental yield is simply the annual income from a property divided by its value or purchase price. Rental yield can be expressed as net of additional fees or gross. In our blog: 'How are rental yields being affected by the rise in interest rates', we explore how low and high-interest rates impact rental yields illustrated by the effects of the 2008 financial crash.

Question 24

Who are Royal Mail?

Accepted Answer

The Royal Mail Group Limited, operating as Royal Mail, is a British postal and courier company owned by International Distribution Services . It manages two main brands: Royal Mail, which handles letters and parcels, and Parcelforce Worldwide, which specialises in parcel delivery. In 1516 Henry VIII created the position of 'Master of the Posts' which by 1710 had been renamed as 'Postmaster General' The crown operated a publicly available postal service through these offices from 1635 during the reign of Charles I. In September 2013 a new holding company, Royal Mail plc, was established in anticipation of its initial public offering on the London Stock Exchange. The company's listing happened on the London Stock Exchange on the 15 October 2013. In 2022 Royal Mail plc was renamed International Distribution Services, of which Royal Mail Group Limited remained a wholly-owned subsidiary. In April 2025, International Distribution Services was acquired by EP Group, a Czech-based company owned by Daniel Křetínský, making this the first time in which the 508-year-old postal service has come under foreign ownership.

Question 25

Who are Ofcom?

Accepted Answer

Ofcom (Office of Communications) is the independent regulatory and competition authority for the UK’s communications industries, established in 2003. It regulates TV, radio, video-on-demand, fixed-line/mobile telecoms, postal services, and wireless devices. Key duties include protecting consumers, promoting competition, enforcing standards, and managing the radio spectrum.

Question 26

What is the Environment Agency?

Accepted Answer

The Environment Agency (EA) is a non-departmental public body in England, sponsored by the Department for Environment, Food & Rural Affairs (Defra), established in 1996. It acts as the primary environmental regulator for improving air quality, land quality, and water resources, while managing flood risks from rivers and the sea. Key responsibilities include: Environmental Regulation: Managing waste, industry pollution, radioactive substances, and agriculture to ensure compliance with environmental laws. Flood Risk Management: Managing flood risks, providing flood warnings, and maintaining river and coastal defences. Water Management: Protecting water quality, managing water resources, and overseeing fisheries and inland navigation. Sustainability: Promoting sustainable development and enhancing wildlife habitats.