Help to Buy Scheme - New Build Negotiation

Turnbull2000

bigmedsi wrote: »

We have just reserved a Taylor Wimpey home under the HTB scheme - they stated repeatedly they could not lower the price directly due to the restrictions of the HTB scheme

Could see this a mile off. No wonder the big developers love this scheme to much!

darkvader

We have been told the same by David Wilson and my friends too have been conveyed the same message.

I do not believe this to be legally binding or true in any way. The quoted price for a new build can be of any value. The HTB scheme only kicks in when the final price is agreed and a reservation fee paid to take things forward. All the govt should, and will, care is what the actual price of the property is to then work out the 20% interest free loan.

Can anyone confirm if there is any wording within the HTB scheme that states the quoted sale price for new builds cannot be negotiated by any amount? Our mortgage advisor said the rules are quite clear : a buyer should be treated the same and open to the same discussions on negotiating the price, irrespective of being a first time buyer using HTB or a full cash buyer....Find all this ridiculous really....

DV

ging84

The HTB scheme does need to take a detailed look at the property deal, they are covering 20% of the purchase, the last thing they want is to be paying for 20% of a deal which includes a huge amount of cash back or extras

the form i got back for my help to buy loan showed any cash back had to be accounted for separately and added extras were allowed, up to a maximum of 5% of the purchase price. The cash back presumably would have been removed from the total purchase price when calculating the maximum 20% loan

The cash discount i had negotiated off the list price was not even mentioned on any of the help to buy paper work so was clearly of no interest to them.