Part Exchange - Deal or No deal

bart7871

Any advice on the possible benefits of part exing our house in Northern Scotland to guarantee a hassle free move back to england? Lots of builders offer it and the idea looks attractive but what are the pitfalls?

Home_Swap_Advice

There are a lot of benefits. The main one being that you not only find youself a new home but you have a guaranteed buyer for yours. They will often offer you a fair price for your own home and in todays market, there is no guarantee that you would achieve this price buy putting it on the open market.

I would have a scan through the message board as there have been a few people that have had bad experiences, but generally, the scheme works very well.

Many developers will include offers such as stamp duty paid etc. but make sure you ask them. You can also secure new build property at a fantastic price at the moment so make sure you put in an offer, even if it may sound cheeky.

LandyAndy

I've done it, albeit in 1985, and it worked very well.

bart7871

Home_Swap_Advice wrote: »

There are a lot of benefits. The main one being that you not only find youself a new home but you have a guaranteed buyer for yours. They will often offer you a fair price for your own home and in todays market, there is no guarantee that you would achieve this price buy putting it on the open market.

I would have a scan through the message board as there have been a few people that have had bad experiences, but generally, the scheme works very well.

Many developers will include offers such as stamp duty paid etc. but make sure you ask them. You can also secure new build property at a fantastic price at the moment so make sure you put in an offer, even if it may sound cheeky.

are you aware of which builders come out as the most reputable?

Home_Swap_Advice

It would be best to find out which developers have plots available in the area that you are interested in. It may be worth spending a bit of time searching for any negative (or positive) comments on the internet.

I know that a few of the users on here have part exchanged so it might be worth starting another thread to find out who people have used and whether they were any good.

Feline_friendly

We are thinking of part exing and the 2nd valuer is coming this morning...we hope to get a decent offer off GW on Friday.`

For us it would be ideal as it takes the stress of selling off us....i have read some bad reviews...but people do tend to complain about things but not compliment so much...so we havnt been phased by them.

natman

HI.

I am in the process of completing via part exchange and so far and hopefully fingers crossed it has been very good I will give you the benefits and negative from my point of view. The process started the end of January.

Positives -
My house was valued at £140k, the builder offered me £135, which i was happy to accept.
The selling price was 229,500, I got the house for £206,500 plus stamp duty and £6000 towards applinces etc.
Stamp duty was paid for.
I was given a month to complete.
Getting a new house.
Good communication throughout.
Licence tro occupy both houses for 2 days, to make moving out easier

Negatives -
Builders only generally accept a lesser cost house as part ex than they are selling for - i.e selliong for £200k meant only houses meant that only houses upto 120k would be considered.
A month to complete was tight to arrange mortgage in this environment.
We had to arrange gas safety certificates and electrical installation certificates to proove that the house was fine.
Also to arraneg all the water to be drained out the pipes by a corgi registered engineer - so no flooding.
We had our house on the market for sale and potential buyers where round, whilst we were packing so keeping on top of the cleaning etc, was a bit rubbish.
they took £750 off us for protection, in case we left our current house in a state or caused damage.


Heres just a few of my thoughts.
Some trivial ones, some a bit more hard work.

I would definatly do it again
Good luck, our builder was Morris homes in England.

lee777_2

hi, can i ask what area you purchased from please and did you negotiate the 25k discount or did your surveyer downprice it thanks lee

Robert_Sterling_3

Home_Swap_Advice wrote: »

The main one being that you not only find youself a new home but you have a guaranteed buyer for yours. They will often offer you a fair price for your own home and in todays market, there is no guarantee that you would achieve this price buy putting it on the open market.

They can offer you over the odds for your house because they can charge you over the odds for the house they are selling you.

natman

lee777 wrote: »

hi, can i ask what area you purchased from please and did you negotiate the 25k discount or did your surveyer downprice it thanks lee

Hi Lee, I hope you where aiming the question at me................

The area I purchased from was in the North west, Lancashire, an area called fulwood in Preston.

Yea I negotiated the price down. I mainly did the following -
went to - ourproperty.com and saw the latest sales in the area.

I had a property to sell, so i waited for the builder to offer me a price etc and then I had a figure in mind how much i could not go over, basically I did not want the cost of the new house to be more than 70k.

I provisionally got myself a mortgage offer for the cost of the house ( i,e 70k more than my existing one) and started to negotiate from there.

Do your home work, be prepared, have funds for flexibility if you can.
I have been here 5 weeks and its the best thing i have ever done.
Yeah the house price may have reduced a bit more but i realy beleive that I got a good deal, on this house and on the house we part exchanged for.
I basically have a 200k - 215k house with a 90k mortgage - happy days.

Whats your position?

lee777_2

hi natman thanks for the reply my situation is very similar to what your was i live in notts .that is a great discount u got on a p/ex it has given me a good incentive to know they will come down considerably . did u give them the offer then didnt budge and they took your biz or did they get u up slightly thanks lee (did they keep u waiting a long time to ok the offer u put in)