Buying a developers px

daisbuys

Looking to purchase my 2nd home and seen a property on at £135K.

Viewed the property and loved it.

Its on at 135k with a double extension but next door is on at 125k with a single extension (one less bedroom) and in need of total refurbishment, but the one I like you can move straight into.

The developer has taken this house in part exchange off the current vendors who are moving out this weekend, so the house is obviously chain free as it is now owned by the developer.

The house has only been on the market for 6 weeks, and has had one offer rejected at 125k.

I have just put my house on the market today, which is a 2 up 2 down and a modern FTB left with modern furniture so am hoping it sells asap.

Although I cant proceed any further at present, do you think the developer would take it off the market for asking price, or do you think they are more inclined to sell at a lower price with a proceedable offer??

Emmzi

how long is a piece of string? depends entirely on their circumstances and I am afraid you will have to ask to find out!

daisbuys

Emmzi wrote: »

how long is a piece of string? depends entirely on their circumstances and I am afraid you will have to ask to find out!

The developers are Charles Church, which are a massive company like red row and persimmon but with higher quality homes.

So are not a small time developer but a big nationwide company. I am just wondering what they would prefer without asking, i.e a secure sale for less profit or a higher profit but with a drawn out sale?

Just don't know how these developers work??

CloudCuckooLand

Most developers are canny enough to build some leeway in their pricing, as they know there will be negotiations. You would be silly not to try offers, rather than straight to asking price - you can always go up, not down.

Don't make an offer until you have one for your place, as otherwise you may be disappointed in what your place goes for and unable to afford asking price - going back later to drop what you want to offer won't work. Not offering, then starting low, because you need to, might - as time will have passed and they may become keener to shift it.

Also, the developer would prefer a quick turnaround, so will probably not want to go with an unproceedable offer, anyway. Unless you want to p/ex yours to them with a cash difference...? Bear in mind though, they might offer less than you hope for as a p/ex, due to the uncertainty of shifting it promptly.

Doozergirl

There is not a chance that Charles Church would take an unproceedable offer.

Save your offers for when you are SSTC or you will simply reveal your full hand to them and end up potentially having to pay more if you do sell and you've already revealed your best offer.

Do not even be tempted to offer until you're under offer. These people know how to negotiate!

daisbuys

Thanks everyone, you have cemented my thoughts on them.

Only good thing is that we are both using the same estate agent, so might help with negotiations?

Never thought of trying a PX with them, would only thought that they would only PX on their new builds? Now that is well worth a punt!!!

Thanks all, il keep you updated.....

Running_Horse

Just hope they don't read this forum. It is highly likely they do.

Doozergirl

daisbuys wrote: »

Thanks everyone, you have cemented my thoughts on them.

Only good thing is that we are both using the same estate agent, so might help with negotiations?

Never thought of trying a PX with them, would only thought that they would only PX on their new builds? Now that is well worth a punt!!!

Thanks all, il keep you updated.....

I doubt it. Their margins are in the new build - the incentive is to get the highest price for their house and the lowest for the part ex. They won'tbe making the margins on buying yours to sell a part ex and they don't get things like tax exemptions on used houses in exchange for used.

It's just not their business. Even if it were, they'd be making you a silly offer for yours.

Doozergirl

daisbuys wrote: »

Thanks everyone, you have cemented my thoughts on them.

Only good thing is that we are both using the same estate agent, so might help with negotiations?

Never thought of trying a PX with them, would only thought that they would only PX on their new builds? Now that is well worth a punt!!!

Thanks all, il keep you updated.....

I doubt it. Their margins are in the new build - the incentive is to get the highest price for their house and the lowest for the part ex. They won'tbe making the margins on buying yours to sell a part ex and they don't get things like tax exemptions on used houses in exchange for used.

It's just not their business - they are a huge new build developer, IIRC part of Persimmon. Even if it were, they'd be making you a silly offer for yours.