New Build Salesperson

Natty082

rugbygirl27 wrote: »

I beg you, don't touch a new build off plans at the moment. Ours is currently running 5 - 6 months behind schedule and is only 2 courses of bricks high. You could easily end up in a situation like us whereby your completion date is extended indefinitely, your mortgage offer runs out and you face the very real prospect of not being able to raise the funds for the purchase (because the valuation has dropped). We are currently facing losing our £25,000 deposit.

Don't do it! Or if you do, get a completion date (or at least a final date by which it must be completed) written into your contract. It could save you a lot of money and stress later on.

Its already built - its been complete about 12 months now. I wouldn't buy off plan now anyway with builders in so much trouble! I'm not that daft! Not that you can buy off plan anywhere near me at the moment.

We only went for it because it was reduced and we went in and got an extra £40K off, stamp duty, carpets and legals! And its a 'home' not an 'investment'

rugbygirl27

Natty082 wrote: »

Its already built - its been complete about 12 months now. I wouldn't buy off plan now anyway with builders in so much trouble! I'm not that daft! Not that you can buy off plan anywhere near me at the moment.

We only went for it because it was reduced and we went in and got an extra £40K off, stamp duty, carpets and legals! And its a 'home' not an 'investment'

Ours was also going to be a home, hopefully the one where we would have our first child. However now the builders have pretty much resigned us to losing our deposit that first child will probably never happen as it will take us 20 years to rebuild our lost savings.

We signed up for ours back in January before the credit crunch hit. I wish I'd never walked on to that site.

Natty082

Must be an awful situation! Is it a big builder or a local small developer?

Why will you lose your deposit? I'm having a blonde moment today! Sorry!

ginvzt

rugbygirl27 wrote: »

Ours was also going to be a home, hopefully the one where we would have our first child. However now the builders have pretty much resigned us to losing our deposit that first child will probably never happen as it will take us 20 years to rebuild our lost savings.

We signed up for ours back in January before the credit crunch hit. I wish I'd never walked on to that site.

Credit crunch happened August last year.... Or do you mean you signed up January 2007?...
We were selling our house in February and new how tough it was and my colleague was selling hers since December - we all new that the prices are going down ad the credit crunch has bitten already....

Treadmill

With Persimmon a reservation is only £250 which you get back if you don't go ahead, you need to make a reservation before they will even talk about price at this stage you'll get your £250 back even if you don't go ahead because you've offered less than they will take, also even if a house is reserved and a buyer in a better position to move makes an offer your reserve is taken off and the house sold to them so saying a house is reserved bis meaningless really, Other builders are probably similar

The sales people often refer to the reserved houses as sold which is just wrong, never listen to them. They'll always say there is huge interest in a property you are interested in to get you to act quick for fear of losing out, the same way car dealers do.

If you have not yet agreed a price, mention your feelings about the sales advisors dishonesty when negotating and speak directly to the regional sales manager or equivilent, the sales advisor at the site usually just relays your offers to them for a decision anyway.

I'm completing on Friday on a new build that was originally £239'999 and I'm paying £185'000 with carpets etc and as I'm part exing the price I am paying is more than somebody selling thier own house would pay so that gives you an idea of what discounts can be had. My advice on negotiations is go in very low, and don't lay all your cards on the table. Don't use their financial people as they will know how much you can borrow and jack the price up accordingly, When you put in an offer say thats the maximum your bank will lend regardless of whether it is or not...

Also as the house you have reserved is complete and you have no say in choosing anything you should try saying you don't like the tiles etc but will compromise if the price is right...

rugbygirl27

Natty082 wrote: »

Must be an awful situation! Is it a big builder or a local small developer?

Why will you lose your deposit? I'm having a blonde moment today! Sorry!

It's Bellway homes so a big developer.

We face losing our deposite because our mortgage offer expires soon which means getting another valuation. It's very likely that the house value has fallen so any mortgage valuation will come up short leaving us unable to complete. If we're unable to complete we lose our £25k deposit.

rugbygirl27

ginvzt wrote: »

Credit crunch happened August last year.... Or do you mean you signed up January 2007?...
We were selling our house in February and new how tough it was and my colleague was selling hers since December - we all new that the prices are going down ad the credit crunch has bitten already....

January this year we signed up. At the time we were getting a very good price for our house and we had no problems getting a mortgage as we had a good 10% deposit. Unfortunately since then the CC has hit the mortgage market and 90% ltv mortgages are short on the ground. New builds in particular have lost their value hence making getting the required amount very hard. If Bellway weren't messing the build schedule around we would have been in before our offer ran out so we wouldn't have had a problem.

lostinrates

rugbygirl, thats awful. I am so sorry.

rugbygirl27

lostinrates wrote: »

rugbygirl, thats awful. I am so sorry.

Thank you lostinrates. I know that we are not the only people in this situation though and at the end of the day even if we lose the money it's only money and we still have a roof over our heads even if it is rented. It would mean no wedding and no children but hey - you can't have everything!

Microstar_2

rugbygirl27 wrote: »

Thank you lostinrates. I know that we are not the only people in this situation though and at the end of the day even if we lose the money it's only money and we still have a roof over our heads even if it is rented. It would mean no wedding and no children but hey - you can't have everything!

That's really dreadful. Have you thought of taking your story to the press? CC and housing problems are very topical at the moment and young couple in your predicament would make a good story for the likes of the Daily Mail etc., even TV. Fire off lots of e-mails to media outlets. It just might put enough pressure on the builder for them to help you out in some way (is there not another finished property on another site close by that you could buy). Surely with £25k at stake anything is worth a try? I know I'd try it.