New build advice pls!

poppysarah

Darth_Marty wrote: »

You can easily get a clause written into the contract to ensure a deadline is in place, its no problem whatsoever and commonplace.

Using a solicitor not of their recommendation.

Cat695

Darth_Marty wrote: »

You can easily get a clause written into the contract to ensure a deadline is in place, its no problem whatsoever and commonplace.

And what good is a clause to a company that has failed and you still have no home???

They can't be forced to build

Darth_Marty

So basically you assume that all new builds are worthless if purchased off plan as all developers will go bust?

hmm.....................

System

Darth_Marty wrote: »

Its not as if the o.p has to pay for the whole house up front is it? It will be a deposit which will be refundable (but obviously inconvenient) should the site not go to plan.

I fail to see the problem with new build houses especially as now they are extremely cheap.

I say go for it and in ten years you will be very happy.

That's what I was thinking too... that long term it shouldn't be a problem. Also even if house prices continue to fall, I doubt that they're going to fall by very much more and for the sake of a few thousand, if I'm not planning to sell in the next few years, it seems a shame to lose the ideal home.

However, as I said previously, my husband still seems quite anxious. So that coupled with the fact that we haven't properly spoken to anyone about a mortgage may mean that we can't proceed immediately anyway. I think I will find out a about a mortgage and then worry about whether we should actually buy!

Thanks for your reply.

cranezoe

we were looking at buying a george wimpey locally - a 3 bed one though. it was up at £200k and we offered a max of £160k which she said she took to superiors etc. it was rejected and she said it would have to be £175k. next week she rang and said it could be £170k and how amazed she was with them agreeing, I just laughed and said we still weren't going higher. then she came back and said she would put £163k forward, nope still only offering £160k.
Anyway.... thought about it properly and decided we would rather not buy before its built - the goal posts seem to change all the time for completion, we havent actually seen the house - sure we've seen a similar one but not the actual one where you can actually see things we didnt think of like parking, garden, how overlooked etc. If prices fall they will hold you at your price you agreed. also we have people buying ours so for us it seems a bad idea. still love the house though and if it was built I'd seriously consider it.
Of course they called today to offer to put our £160k forward again. I asked how the building was going and she said it was on track to be completed by may.... when I put the offer forward initially it was due for march so I can see the probs already! we'll see what happens but I doubt we will get it.

take a chance, wait til its built or near built! and keep looking for other options!

NoDebtForMe_2

Cat695 wrote: »

Because there is no time period set in any of the contracts that the house has to be built to....so they can have your money for as long as they want......
Because they don't get your money until the house is built and the NHBC cert has been sent to the company supplying the mortgage.

As I said previously there are people who have come on this site and are still waiting after a year and their house still hasn't been built....and they can't get out of the contract.
This gets quoted time after time and would love to see the figures showing how many get built relatively on time in a comparison to those that didnt. Like anything else you always here about the bad things in people's life but no one is going to post saying their house was built on time now are they? That would be just sad.

And why would anyone want to pay 200k for a house that could only be worth 150k 120k in another years time??

Because the OP is looking to "live" in the house - it's not an investment so it declining in vaue in a years time is not going to affect her is it? Most newbuilds have been reduced in price in line to the current climate. They are also still negotiating prices.

To the op. I have purchased a 4 bedded detached which was last sold on this street for £289,995 in Oct 08. They are selling them for £230,000 and we offered them £170,000. We eventually got it for £190,000 even thought they said they wouldnt go any less than £200,000. We feel we have done very well and are very very happy with our purchase. It is from plan and we have been onto site as it is at foundation stage. We have been shown the boundaries from plan and on site so we have afair idea of the size of the garden. We can see the outlook. Half the street is built and fully lived in so we have got a "feeling" of the street. We could see where other houses where going to be and we are very happy with the position (like you it appeared to be the best plot for us from plan).
I would imagine whatever time you buy from plan you are going to have the same worry of will it be built on time. So how will waiting benefit you other than you get it slightly cheaper when built BUT you dont get to choose kitchen cupboards/tiles/carpets etc etc and when you buy your dream home you want to choose dont you? You could possibly get a lower price by waiting but then your plot has gone. We have gone for it right now as we are part xing and didnt want to wait longer for our house to decrease in value. Wehave effectively paid £100,000 less for the same house 6 months later and I am delighted with that.
Of course everyone has their opinions on new builds and no doubt I will get slated for mine.
I would say go with your instinct.

Cat695

Well expalin to me then why new builds have pretty much stopped?? maybe its because the company can't afford to build the houses anymore?? and because they can no longer sell at a decent profit!!

and if it gets quoted time after time then surely it should be a warning? I would say go for it if we was back in 2007 and they were knocking up new builds like no tomorrow....but their not!! pretty much every new build estate has ground to a halt

The huge new build estate that is near me has ground to a halt.....we are in a recession and will continue to be in one for at least this year and thats minimum!!! houses just aren't selling so a company is NOT going to build a house at a loss....they are getting rid of what they can hence why the big drops on new builds....that alone should be a warning to someone.

I'm not slating the new build I'm telling the OP to be wary of buying one that hasn't been built.

NoDebtForMe_2

Its obvious why they have slowed/stopped. They arent selling as many as they were. My development have slowed but they still have deadlines in place. They dont want houses which they have started to build or half built sat there do they? Surely in this climate if they have sold a house it is in their interest to finish it as quickly as possible in order to get their much needed money? So if that was the case they will build them quicker than anticipated ? Or am I being naieve (sp)?
What has building at a loss got to do with anything? I didnt mention any losses.
Sarah x

Cat695

NoDebtForMe wrote: »

Its obvious why they have slowed/stopped. They arent selling as many as they were. My development have slowed but they still have deadlines in place. They dont want houses which they have started to build or half built sat there do they? Surely in this climate if they have sold a house it is in their interest to finish it as quickly as possible in order to get their much needed money? So if that was the case they will build them quicker than anticipated ? Or am I being naieve (sp)?
What has building at a loss got to do with anything? I didnt mention any losses.
Sarah x

Ok I'll put it this way

there are NO deadlines in place thats what i'm trying to point out!!! hence why people are ending up still waiting after a year to have their house built...the only way they make massive profits is by selling LARGE amount of houses not the odd one or two....just because they make 50k profit on one house doesn't mean they are making money!!

ANd the OP did say it hasn't even been started yet!!

So your saying yours has slowed but you think that they will build it quicker??

NoDebtForMe_2

Whats with all the exclamation marks ???????? Be careful cos it looks a bit aggresive
Im not saying mine will be built quicker. I have no idea. Ive never bought a newbuild before and dont work for a builder.
Like I said everyone has their own opinions.