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  • FIRST POST
    • harish kumar
    • By harish kumar 6th Dec 17, 3:44 PM
    • 5Posts
    • 0Thanks
    harish kumar
    Important checks in Contract document for the new build house
    • #1
    • 6th Dec 17, 3:44 PM
    Important checks in Contract document for the new build house 6th Dec 17 at 3:44 PM
    Hi Everyone,

    I am a first time buyer and buying a new house from a reputed builder.
    Their solicitor is also acting as my solicitor. I have recived the contract document from my solicitor and they says its a standard contract document.

    When I looked at it, it is more favourable for the builder than to the Buyer.
    When I speak with my Solicitor, they said it's a standard contract and I don't think they change it if we raise it.

    I don't understand what to do. I haven't signed the contract yet.

    I am highlighting few points.

    1) Completion delays costs not covered/refunded by the Builder ( no specific time mentioned)
    2) Some of Land acts not applicable.. I don't even understand those Acts
    3) The buyer is not entitled to delay legal completion on account of minor defects or outsatanding external works which can be reasonably dealt with after legal completion by the seller( inclduing the grassing the front garden,landscaping and top surfacing drives).
    4) The Seller shall not be liable to the Buyer or any successor under this contractc or any document incorporated herein respect of any defect,error or omission in building the home save to the extent and for the period that it is liable under the provision of the new home warranty provided under clause 3 on which alone the buyer's rights and remedies are founded.
    5) The Buyer shall not be entitled to compensation in respect of minor defects or in respect of works carried out to remedy them.This clause will not terminate on legal completion.
    6) The Buyer will immediately on request by the seller join in and be a party to any deed or document required by the seller to grant easements over the property to any public authority or supply company in connection with services to be provided for the benefit of the Seller's developement and this caluse shall not terminate on legal completion.
    7) The Seller may be building new homes adjacent to the property and the provisions of the party Walls etc.. ACT 1996 shall not apply to any developement undertaken by Seller on land adjoining the property.

    One more concern on Search results:

    Do I really need to do Search Results for the new Build?

    My solicitor says they have done the search results six months back on this development and there are no risks.But I paid 210£ for Search results ( local,drainage,water not environmental) and they haven't sent me the results yet( waiting for more than 25 days). Now asking 90 £ for Environment Searches ( not mandatory)?

    The sales manager is asking me to come over this weekend for extras ( kicthen fittings, floor carpets and any other extras) and asking me to pay the full amount as I haven't exchanged the contracts yet.
    This amount ( £ 5000 ) is not refundable.

    I am worried that without search results , I don't know whether I need to proceed with Extras.

    Please advise on my current situation.

    Thank You All in Advance.

    Regards
    Harish
    Last edited by harish kumar; 06-12-2017 at 3:48 PM.
Page 1
    • comeandgo
    • By comeandgo 6th Dec 17, 3:49 PM
    • 1,876 Posts
    • 2,517 Thanks
    comeandgo
    • #2
    • 6th Dec 17, 3:49 PM
    • #2
    • 6th Dec 17, 3:49 PM
    The contract is standard in a new build, but get yourself an independent solicitor.
    • Slithery
    • By Slithery 6th Dec 17, 3:51 PM
    • 355 Posts
    • 506 Thanks
    Slithery
    • #3
    • 6th Dec 17, 3:51 PM
    • #3
    • 6th Dec 17, 3:51 PM
    Their solicitor is also acting as my solicitor.
    Originally posted by harish kumar
    There's your mistake.

    You should never use a solicitor recommended by the developer, as they will have their interests above yours.

    Always use an independent solicitor.
    • Surrey_EA
    • By Surrey_EA 6th Dec 17, 3:53 PM
    • 1,298 Posts
    • 1,551 Thanks
    Surrey_EA
    • #4
    • 6th Dec 17, 3:53 PM
    • #4
    • 6th Dec 17, 3:53 PM
    Their solicitor is also acting as my solicitor. I have recived the contract document from my solicitor and they says its a standard contract document.
    Originally posted by harish kumar
    I'm not a massive expert in the sale of new build properties, so I'm sure someone better informed will be along in a minute.

    However, the fact you are using the developers solicitor would ring massive alarm bells for me. You want a solicitor acting solely for you, to protect your best interests in what is likely to be one of, if not the, biggest financial decisions you have ever made. Using the developers solicitor seems to be a huge conflict of interest.
    • harish kumar
    • By harish kumar 6th Dec 17, 4:14 PM
    • 5 Posts
    • 0 Thanks
    harish kumar
    • #5
    • 6th Dec 17, 4:14 PM
    • #5
    • 6th Dec 17, 4:14 PM
    1) Can I move away from my Solicitor at this stage?
    2) What do you think above the contract points? Are those fair and standard?
    3) If I go with a independent Solicitor, Do the Seller change the contract document?

    please advise.
    Last edited by harish kumar; 06-12-2017 at 4:17 PM.
    • harish kumar
    • By harish kumar 6th Dec 17, 4:20 PM
    • 5 Posts
    • 0 Thanks
    harish kumar
    • #6
    • 6th Dec 17, 4:20 PM
    • #6
    • 6th Dec 17, 4:20 PM
    I'm not a massive expert in the sale of new build properties, so I'm sure someone better informed will be along in a minute.

    However, the fact you are using the developers solicitor would ring massive alarm bells for me. You want a solicitor acting solely for you, to protect your best interests in what is likely to be one of, if not the, biggest financial decisions you have ever made. Using the developers solicitor seems to be a huge conflict of interest.
    Originally posted by Surrey_EA
    If I go with a independent Solicitor, Do the Seller change the contract document? Not sure ... I am a first time buyer.
    • Surrey_EA
    • By Surrey_EA 6th Dec 17, 4:27 PM
    • 1,298 Posts
    • 1,551 Thanks
    Surrey_EA
    • #7
    • 6th Dec 17, 4:27 PM
    • #7
    • 6th Dec 17, 4:27 PM
    1) Can I move away from my Solicitor at this stage?
    2) What do you think above the contract points? Are those fair and standard?
    3) If I go with a independent Solicitor, Do the Seller change the contract document?

    please advise.
    Originally posted by harish kumar
    1) Yes - although you need to consider whether you have committed to buy the property within a certain timeframe, and will the developer wait whilst a new solicitor gets up to speed, or will they wish to re-market the property.

    2) I do not feel sufficiently qualified to answer, these are normally questions for your solicitor!

    3) The seller may be prepared to make changes to the contract document, or they may not, it depends on what changes are requested, and how strong they feel their position is.
    • harish kumar
    • By harish kumar 6th Dec 17, 4:37 PM
    • 5 Posts
    • 0 Thanks
    harish kumar
    • #8
    • 6th Dec 17, 4:37 PM
    • #8
    • 6th Dec 17, 4:37 PM
    Just got a call from Sales Manager and asked me to come over this Saturday to select the Extras ( Kitchen,Electric and Plumbing). They want these details before Sunday. Failed to select the extras results there won't be further work done on Electrical and Plumbing work on my property.

    She asked me to pay 30 % for now as the search results are not out yet.

    Please advise how to deal this situation.
    • harish kumar
    • By harish kumar 6th Dec 17, 4:40 PM
    • 5 Posts
    • 0 Thanks
    harish kumar
    • #9
    • 6th Dec 17, 4:40 PM
    • #9
    • 6th Dec 17, 4:40 PM
    [QUOTE=Surrey_EA;73523562]
    2) I do not feel sufficiently qualified to answer, these are normally questions for your solicitor!

    I really want to know if these are the standard rules for the new build. Is there any serious issues with the above points that I need to consider and raise with my Solicitor? Please advise
    • JoJo1978
    • By JoJo1978 6th Dec 17, 6:11 PM
    • 176 Posts
    • 161 Thanks
    JoJo1978
    The problem is 'your' solicitor is not only your solicitor. They are not motivated to raise with you any issues of legal concern, they work for the seller too.

    You need an independent solicitor and they will review the entire contract and advise you on each point. They can also explain parts of the contract that you don't understand. Please take this advice.

    You cannot onky rely on the opinions of posters, however well intentioned we are. We are not acting for you in a legal capacity.
    Hamster in the wheel (London) 1999-2017
    Mortgage free since 2015; Pension pot sorted 2017
    Second career (what TBD!) 2018
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