Negotiating on a new build

microkid

We’re looking at some new build properties in South East / Kent.

Are builders likely to entertain offers now a days? If so what is a realistic amount to except? Would 20% be ridiculous?

Does anyone have any experience of this? Or advice?

Really want to try and get best possible deal, but also want to be taken seriously!

forgotmyname

Depends how well the other properties are selling.

Relocationrelocation

Definitely try making a sensible offer - we negotiated a good amount off ours plus got flooring/white goods/carpets thrown in.

purcel

In Kent the house prices are on the up, so I doubt you will get 20%off, you'll be lucky if you do get a price reduction at all!

DigForVictory

Have a look and see how long these properties have been on the market for, how near being ready for occupation they are, whether there is planning for another phase - little things that suggest the builders might be willing to negotiate. Remodelling interior walls may be a bit late, and *possibly* also carpets & wall paint, but have a look at what you think they may be able to do.

If a property has sold & is occupied, then clearly searches have happened once & come up OK unless the occupant is a cash buyer.

Please make sure you have a mortgage ready to move quickly though - the builders after a quick sale can get white goods in in hours. How fast can you get your money into their bank account?

All the best!

dgtazzman

You won't get 20% off in the current market, you'll be lucky to get anything off, especially in the South/South-east. You'll have more luck negotiating on a few incentive offers (stamp duty, legal fees, turfing, flooring, white goods, upgraded fittings, etc.) and you'll probably find the will to give these isn't going to be forthcoming.

Are you going to use HTB? If you are, remember you're only allowed a max. of 5% of the purchase value as incentives. Just got our paperwork through on our purchase and it stipulates this quite clearly...

If you aren't using any schemes for the purchase, you might get a little knocked off the asking price as it saves the builders a little effort, but depending on the price of the property, it probably won't be more than 5k-ish for a property around the 200k mark.

gazzabboi

Not in the south east, they dont need to. Help to buy has made most new builds sell faster than usual. As said above, if you are lucky you may get 2% off, certainly not 20%

Tancred

microkid wrote: »

We’re looking at some new build properties in South East / Kent.

Are builders likely to entertain offers now a days? If so what is a realistic amount to except? Would 20% be ridiculous?

Does anyone have any experience of this? Or advice?

Really want to try and get best possible deal, but also want to be taken seriously!

New builds are very difficult to haggle over. Normally you'll get an incentive like SDLT paid for or the new government 'help to buy'. That's it.

The houses are new, so why should they give you any discount at all? 20% off is just taking the pi**.

Turnbull2000

Builders that are participating in Help to Buy are all but eliminating reductions and incentives. And why not. Any private firm would exploit state subsidised buyers of your goods.

donz23

I wouldn't agree with some replies on here - I live in the south east and negotiated money off the asking price and stamp duty paid by the builder. This was last month.
I think it all depends on the area, if there are other new builds going up (in our case there are 4 builders all building in the local area), if the site/homes are finished and how well they're selling.
If you ask, worst they will do is say no, so in my opinion it's worth a go!

Relocationrelocation

Ditto - we live in the South East too