New Build Townhouses

Jazzyjeff_2

We are first time buyers keen on new build Townhouses because of the general layout over 3 floors and the extra space you often get to a 2 storey.

Anyone any advise on if this is a good move, one we are interested in is in a development of 8, all unique and of a very high quality, and in a good location not too far from a good University.

The list price was £395k in July last year, reduced to £375k in October which is the price now. Was thinking of going in at £305k and possibly going up to £325k.

Any advise appreciated

socrates

Have you googled the developer to see other peoples views of the quality of their build?

Have you got a good deposit?

There is another post on here from someone at the end of your question i.e they have negotiated and got turned down re LTV.

Personally I would get an idea of realistic valuation before I committed - however would not buy a new build anyway.

Also make sure you use a whole of market fee free broker - not the developers recommended broker

Jazzyjeff_2

25% deposit so not bad!

The Developers are a small new partnership so no past experience to go by, however the finish and fittings used are absolutely superb and they certainly didn't rush the development. Much higher quality that other new builds we have seen by the bigger developers. The warranty is with Zurich so not sure if this is better than standard.

The price compares well to another terrace newbuild very close by which was not nearly as nice and terrace too, the one we like is a big Semi. We could get a nice detached close by for a similar price but not nearly as big or as nice fittings - range cooker, solid oak doors and downstairs flooring, porcelanosa tiling, high end kitchen etc etc.

Small developer so they don't care what broker - it's through an agent anyway.

socrates

Ok - you seem decided.

Push for every possible extra you can - if they agree to everything straight you know there is more room in the deal.

Fee free whole of market broker is the only other thing.

As always its the valuation that counts

pandamonia

lucky ftb with 90k hanging around.

Doozergirl

I like townhouses too because they do present better value for money when you consider the square footage on offer.

Sounds like they're actually 'finished' which new builds often aren't which is a bonus in itself. Just get that price down as far as you can and don't up your offers too quickly, these people will know how to negotiate - it's all nerve - the harder you are, the more flexible they will be.

Jazzyjeff_2

Yes finished for around 6 months and then last touches, carpets etc. Completely finished at least 2 - 3 months.

The lady showing us round who they hire at weekends let on they had only sold 1 in the last 6 months (4 of 8 sold in total) and were willing to accept offers but in the past had rejected £60 - 80k off. Hopefully as things have got worse since then they may be more willing to negotiate now.

Is them paying the stamp duty something to go for? Or as they are a small developer it means exactly the same as cash off the asking price really?

socrates

Forget gimmicks like Stamp Duty etc.

Deal in hard cash.

If you eventually drop the price the stamp duty being paid is worth less to you anyway.

They will want/need your type of buyer.

Like others have said negotiate hard - real hard.

Stick to your guns and consider how long it would take you to save say £10-15k you are prepared to negotiate for.

Be prepared to walk away - they will call you back!

Doozergirl

Stamp Duty paid, cash off, it's the same to them. Don't fudge it with detail, just play hardball and get the price down.

slummymummyof3

I would make a low offer and show you are prepared to walk away under the pretext of 'its a buyers market!' Don't appear too keen as it will give you less bargaining power as they may see you as ultra keen!!!!

SavingSteve

pandamonia wrote: »

lucky ftb with 90k hanging around.

I'm sure OP has had to save hard to get to 90k, calling them lucky with no basis is kind of pathetic.