A step-by-step guide to buying your first home ¦ Property Guides on Times Online

1. First-time buyers are in a very strong position right now. You are not in a chain and able to move quickly. Use this advantage to drive a hard bargain.

2. Think long-term. The average property price in November was £184,099 after a slight fall over the autumn according to Nationwide but the average house is still £12,000 more expensive than it was a year ago. Make sure you do as much research as possible into house prices in your area as trends can vary dramatically from area to area. Websites such as Hometrack, mouseprice and zoomf.com show house price data by area.

3. Know your market. Pick the areas you would like to live in and do some thorough research. The main property portals – Rightmove, globrix, Propertyfinder, Findaproperty and Primelocation are a good starting point.

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4. Sort out your finances. You will be in an even stronger bargaining position if you have your deposit and mortgage ready. Speaking to a lender first will also give you an idea of how much you have to spend. Stick to your budget.

5. Remember the extras. As well as a deposit, you will need to pay for the legal costs, property survey and probably stamp duty. Then there are the moving costs to consider and new furniture to buy.

6. The asking price is not the sales price. Hometrack figures show that homes are selling at an average of 6 per cent below the asking price. Offer 10 per cent less than the advertised cost and see what happens.

7. Look out for a distressed seller or someone who needs to move fast. Death, divorce and growing families are the main reasons why home owners might be keen to sell quickly. But in the current climate you may also find struggling buy-to-let investors who want out.

8. Consider new build. The sluggish property market is not kind to developers either. Many are having a tough time selling two bedroom flats in overbuilt locations. You may get a good price for a home or at least persuade the builder to include a bunch of extras. But be extra careful. You will need to sell the property on yourself in a few years. SmartNewHomes is one of many websites specialising in new properties.

9. Check out the auctions: The number of repossessions is rising as many homeowners and investors alike struggle to keep up mortgage payments. Prices at auctions are typically 10-15 per cent below what you will find through an estate agent. But you must have done all the relevant searches and gave your finances ready as the sale is legally binding once the hammer falls. Check out www.auctionpropertyforsale.co.uk

10. Get help. There are several home ownership schemes available. Some allow you to purchase a share of a house owned by a housing association. Others initiatives help with the finance allowing you to buy on the open market. Not all are aimed at key workers. If you are employed and earning between £17,000 and £42,000 a year, you stand a fighting chance of qualifying. Start by contacting your local authority: www.direct.gov.uk.

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