New Build Purchase

andymd

We reserved a new build off plan in October 2010, knowing we wouldn't have the deposit until June 2011 when the house was due to be finished. We paid a £500 reservation fee but got them to add a clause that we could have it refunded if we couldn't get a mortgage. We then exchanged in January 2011, with a 2.5% deposit (they originally wanted 5%) but we would have been liable for the other half if we pulled out. The house was completed at the end of June, 13 days before the mortgage ran out and Nationwide don't do extensions, so was quite nervous towards the end.

It was a bit different back then, we didn't have to prove where the deposit was coming from, not sure if you'd have to show proof on exchange.

Best thing about buying early is you get the pick of the plots, they were selling all the 3 bed semi for the same price but ours has a much bigger garden and is in the best location(at least in our opinion) and you get to choose the flooring, tiles, kitchen, etc and possibly make minor changes to the layout.

dgtazzman

andymd wrote: »

Nationwide don't do extensions

That is not correct, they will extend for a maximum of 1 month, though it does require some paper shoveling from the builders and solicitor, meaning some extra solicitor fees and it is not guaranteed they will grant the extension, but yes, after that extra month you have to start the whole process from scratch, luckily, we had 3 days spare when we got the keys to our newbuild