part exchange when buying a house off a development

bs0u0128

what does this mean? is it with any house or are there criteria to fill /

spunkeyrich

builders will p/x a property if it suits them and they can make money out of it. sometimes 5% off the value. so they can make a small profit on either the house they p/x or the new property they sell.

can be a good idea if you dont want to hassle of selling.

rich

cuddlymarm

Hi
We part exchanged for a new house a few years back. We were given a price for a quick sale which was reasonable in return for us buying a particular property ( more expensive than the one we were selling)
It speeded things along because there was no chain and you had no estate agent fees.
You would probably make more if you sold your house and then looked for a house but we needed to move because my OHs job had moved and I had both kids at critical times in their educations.
It was less stressful than normal moving because of the lack of other people in the chain.

Good househunting.:rotfl:

terrierlady

part exchange maybe same or very similar rules, house not accepted could be ex local authority, over 100 years old, pre cast concreate built ie pre fabs, in an area not to the developers liking etc must be at least 30% differential between theirs and your trade in. each developer makes rules.

MJMum

As terrierlady said, there usually has to be a fairly hefty difference in price between what you are proposing to buy, and what you want to "trade-in" - varies by house builder but typically at least 20 to 30%. Part-ex is sometimes only offered on certain plots too, depending on the development. The price offered is usually one at which the part-ex'd property will sell quickly (EAs love these deals as they cop for 2 lots of comission from the house builder - one for the house builder's property, and one for the part-ex'd property, sometimes within the same pay month lol). As with most things in life, it can be convenient, but at a price.

lianne1978

we were considering buying a property on a new development on a part-ex basis. the sales person said someone would come round and give us a valuation it would probably be lower than what we expect but the sale is there and we would've been able to stay in it until the property was ready.

hearts

DONT DO IT! They offer far far less than you will get by selling yourself. Some don't even buy them themselves they pass them on to companies specialising in BMVs
A friend of mine asked them recently. They gave them an offer of £130,000. They thought about it for 2 secs then said no chance. They put it on the market and were sold within a fortnight for £160,000

terrierlady

yes good and bad with part exchange, the best is you stay in your till the new ones ready plus sometimes you get extra cash for showing people around your remember developers not buy homes they sell them so you will not get the best price you are the only one that can answer the question is it worth it doe you or not?

ConsuelaBananaHammock

Im part exing my house, we got an ok deal. We wanted 90,000 for it but we are part exing it for 86,000 we have no estate agent fees, they are paying the stamp duty and a part of the solicitors fees so all in all Im happy enough. Its best to see what they offer you before ruling it out you never know you might get a fair deal :rolleyes:

movingforward2010

we looked in to this, saw a 4 bed new build for £196k, had my 3 bed valued @ £199k they wouldnt do it cause my house was worth more it had to be 30k less