Newbuild Holding Deposit - refundable? (and another question)

csq

GDB2222 wrote: »

Umm, you WERE given a reservation agreement, weren't you? If not, I don't think that the builder can make any deductions from the reservation deposit at all. If you did get a reservation agreement, all this should be covered in it, but then you wouldn't be asking, would you?

Yes, I was given the agreement and I have read the T&C's according to which we would be only liable the admin fee of £50 an solicitors consulting fee of £100. However when I called the office and the solicitors to confirm this, they said it would be the whole £1000 after all. That's why I asked here.

csq

Mickygg wrote: »

Surely an option is to delay the process for 2 months. Just say you are trying to get a better mortgage.

That's what exactly what I did this afternoon and got an approval !!!

However, a new question arises:
Since we've been credit checked twice in last two weeks and once declined (same lender - 1st initial check, then the final one), how long do you think we should wait until another application? I am willing to wait two weeks to make one (the 2nd best), and another weeks to apply for the best one (we have to wait until 10th Sept). That would be 4 credit checks in 1.5 months. Is this too many? I believe our credit history has been squeaky clean before the declined application last Friday.

Edit:
Is it better to ask this in another thread instead?

GDB2222

housebuyer66 wrote: »

We paid reservation fee of £500, Once it was agreed sale price of our PX deal from both parties and the sdale of our new plot. They (Redrow Homes) took the deposit out of our account the following day. Yet 48 hours later they contacted us to inform us that they ( sales ) had made an error and would look to reduce there offer on our property by £10000, . and increase the new build by another £10000 on top of what was agreed, This now meant there was a shortfall of £20,000 in which they required from us.

we have printed sales contract signed by there sales team and authorised by their sales manager. With a exchange date.


They cannot explain how this error has occured. The sales person is not new and has been with them for several years.

It has now been three months and we are still waiting for the £500 to be re-inbursed. We have called into sales office , sent e.mails and called North West Head office, and still no explanation why the money has not been paid back into our account. This was not us cacelling the agreement, but they (Redrow) not honouring what we understood to be a legal /binding contract.

Why not take it to the independent adjudication scheme?

GDB2222

csq wrote: »

Yes, I was given the agreement and I have read the T&C's according to which we would be only liable the admin fee of £50 an solicitors consulting fee of £100. However when I called the office and the solicitors to confirm this, they said it would be the whole £1000 after all. That's why I asked here.

The code came into effect a couple of years ago, but it is astonishing how few people know about it. There is very little mention of it on this forum, for example, and it sounds as though you were misled by whoever spoke to you at the solicitor.