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  • FIRST POST
    • Simon1878
    • By Simon1878 27th Sep 17, 9:41 AM
    • 50Posts
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    Simon1878
    New Build Home - Reservation Fee and potential rogue traders
    • #1
    • 27th Sep 17, 9:41 AM
    New Build Home - Reservation Fee and potential rogue traders 27th Sep 17 at 9:41 AM
    Hi,

    I haven't posted for a while but I remember that this place is a reliable place in time of need!

    So I've recently found a new build house that I would like to buy as part of the Equity Loan Scheme. I paid my £500 reservation in eagerness. Since I've done that I've got the ball rolling with everything else. Single mortgage application for a place I can afford. All was looking good until I stopped for a moment and found the time to do my research...

    The company is a company that's five years old, the guy that sold me the place was a young lad so I assumed salesman, turns out he's the director, this surprised me so I researched further, turns out he's been the director of 14 companies and he's only 23, not too surprising if he's an entrepreneur so I thought, a little further research and his surname reveals a lot, I won't put it on here as I know this site doesn't like names mentioned but I'm sure many on here will have heard of his rogue trader dad back in 2012.... A well known family in Bury.

    I'm now quite nervous about the whole thing. What sort of problems may I encounter? My initial thoughts are it's some sort of reservation fee scam where they somehow keep £250 from the reservation fee and you pull out etc.

    I don't know whether to go for it and risk it or pull out early and save the heart ache.

    BERKSHIRE HOMES (NORTHERN) LIMITED is the company name, anyone heard of them, had any dealings?
    Last edited by Simon1878; 27-09-2017 at 3:06 PM.
Page 2
    • Simon1878
    • By Simon1878 27th Sep 17, 3:49 PM
    • 50 Posts
    • 9 Thanks
    Simon1878
    It doesn't say it to the consumer, it's in the rules the HCA demands the builders sign up to.

    Phone your local HTB Agent if you want verification.
    Originally posted by kingstreet
    Getting through seems to be a nightmare.

    Thank you anyway, I'll persevere.
    • Simon1878
    • By Simon1878 27th Sep 17, 4:22 PM
    • 50 Posts
    • 9 Thanks
    Simon1878
    It doesn't say it to the consumer, it's in the rules the HCA demands the builders sign up to.

    Phone your local HTB Agent if you want verification.
    Originally posted by kingstreet
    They've said they aren't able to help. I've emailed the HCA
    • Simon1878
    • By Simon1878 3rd Oct 17, 6:59 PM
    • 50 Posts
    • 9 Thanks
    Simon1878
    It doesn't say it to the consumer, it's in the rules the HCA demands the builders sign up to.

    Phone your local HTB Agent if you want verification.
    Originally posted by kingstreet
    The HCA have responded to my query with this


    Under the Help to Buy contract, the developer needs to refund the maximum £500 reservation fee if the buyers is not eligible for Help to Buy or is unable to obtain a mortgage.

    Whilst the Buyer will need to confirm the detail of its appointed legal representative (who must be either a solicitor, a Chartered Legal Executive or a licensed conveyancer) the Buyer should not incur any legal fees until it has been accepted for the Help to Buy Initiative. Any reservation fee payable to the Provider should be no more than £500 and should be refundable if the Buyer is not accepted for the Help to Buy Initiative following the submission of the Property Information Form.
    They would also have to refund the fee if the following occurred.

    The Provider hereby agrees that in the event it enters into any contract with an Eligible Purchaser for the purchase of a Dwelling using the Help to Buy Initiative and the Provider is not eligible to receive Equity Loan Funding in relation to such transaction (whether as a result of a Provider Default or otherwise) then the Provider shall unconditionally release the Eligible Purchaser from such contract and return to them any deposit and/or reservation fee paid by that Eligible Purchaser.
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