NHBC guarantee + other issues

adamneal

Hi all,

I've been reading this forum for a while now but this is my first post!

I'm due to exchange and complete on a new build in a week or twos time however my solicitor has just uncovered a few problems and I have no idea what to do about them.

The first of the problems is that when the estate agent showed me round I specifically asked if the property had an NHBC guarantee and was told that it did and it covers the building for the usual 10 years. This played a big part in my decision to buy the property. However it now turns out that the vendors solicitors are saying that it does not have this guarantee and all I will get is the architects certificates on completion.

The second problem is that the sewers/drains and the road have not been adopted by the local authority yet and as far as we can tell the developer has not even started negotiations for this to happen in the future.

These problems together are making me seriously consider pulling out. Any opinions are gratefully received as I just don't know what to do!

Thanks

Adam

grade15

I thought that new build houses ALL had NHBC guarantee.. check with your solicitor and ask the estate agent again!
also check their website and see, if it states anything on it about the NHBC..

also with the road, sewer, drains don't belong to the local authority..so what?
you still pay your council tax, water and sewage..is there a problem?

:dance:

lisyloo

However it now turns out that the vendors solicitors are saying that it does not have this guarantee

Are they saying you wo't get it at all? or just that they haven't got the paperwork right now.

Having bought a new house 4 years ago and having no end of problems then I would suggest serious considering pulling out if it doesn't have this guarantee.

In reality here are plenty of other houses for you to chose from even if right now you think this one is perfect.

The second problem is that the sewers/drains and the road have not been adopted by the local authority yet and as far as we can tell the developer has not even started negotiations for this to happen in the future.

These things take ages to happen.
There will be obligations on the part of the builder (for example they would have had to lodge a large sum of money in case they scarper).
Your solicitor should be advising you if these things haven't happened.

What has your solicitor/conveyancer said on the issue?
How much will you lose if you pull out? valuation? solicitors fees?

Personally having had massive (400) problems with my house I would not be prepared to go ahead without the NHBC warranty but perhaps I have negative view because of my experiences.

If you have lost money but you were told there was an NHBC warranty then you probably have ground to claim back any money you lost.
Do you have proof that this was offered e.g. advert, email etc. or is it jsut word of mouth?
If it's word of mouth do you have lots of witnesses that can back you up e.g. lots of other households?

adamneal

Hi everyone, thanks for the quick responses

grade15: not all new houses have an NHBC guarantee, the builder has to be registered and choose to take it out. Also any repairs on sewers/roads will not be paid for by the local authority unless they have adopted them. It would be up to the builder normally. The risk with this is that once the work has completed the builder could just leave a skeleton company in place with no real assets and hence no money to complete repairs so it will fall on the residents to pay.

lisyloo: The vendor hasn't categorically said that there will be no guarantee but when asked directly they say that the architects certificated will be available at completion, it sounds like they are avoiding saying no. My solicitor has asked them to clarify this

My solicitor doesn't seem happy at all with the situation, especially been as it's all these issues combined. They are trying to clarify the points but are not really making much progress as the vendors solicitors just send standard replies all the time.

I wont be too much out of pocket if I pull out. Solicitors fees are minimal as it is a relative, I may lose a £500 deposit but I would argue for that back based on the NHBC promise. I'd also lose search/valuation fees so worst case I guess is 1000-1500 pounds.

The only witness to the NHBC conversation was my girlfriend. I don't know whether this would be sufficient to argue the point