Can Barratt do this?

[Deleted User]

Hi all, this is only my second thred since joining.

I bought a 2 bed house off-plan from Barratt.

When I went into the sales office the rep told me if I was interested I should put a £99 deposit down to secure the plot as the prices would be going up a couple of days later. After telling them I wasn't sure I could afford it because I didn't have any savings for a deposit the rep told me that the house wasn't due to be completed until October so I would have until then to save 5% of the deposit and that they would match it.

I worked out that I could manage to save this (between Feb and Oct) so I agreed to secure the plot and used their recommended advisor to find a mortgage - 5.44% fixed rate with A&L.

Now I stress that I only agreed to buy the house as they said it would be done in October therefore I had sufficient time to get enough money behind me for the deposit and to get some essentials for the house.

This week the rep called me:

"Good news, your house will be ready by the end of August/start of September".

I immediately challenged this as I agree to buy on the grounds of it beign ready in October and all my finances wouldn't be in place until then.

The rep rather abruptly told me that I was bound to complete as soon as they served notice. If I was unable to pay then I would be in breach of the contract and liable to pay the associated costs.

I'm a first time buyer and maybe more naive than most of the users here but can they really do this? How can they sell me a house by showing it is affordable over a certain timescale and then completely move the goalposts?

This change is going to result in me being about £2000 short on the deposit and I have no other means to borrow it. Repaying a personal loan on top of my mortgage etc is not an option.

Someone please tell me there is a way out of this!

Many thanks in advance,

Paul.

TEDDYRUKSPIN

Classic barratts. I too went to buy a nice 3 bedroom terrace costing me £145k. I had everything but barratts love to push as fast as they can because they need the money. Barratts rely on people like you to move in as fast as you can, as your money will help fund another 2 houses.

Answer: Unless your reservation letter states this, you are kind of stuffed. Now, you can delay it by making excuses such as the mortgage provider is not ready. I did but eventually, I did'nt buy the house due to them having so much snags. Another excuse is to go to the property and start picking up problems.

One word of warning. Barratts are classic for not repairing snags until you move in. Just to tell you, them snags will take a further 10 weeks or more to fix it as it is no longer considered priority. Go to see the house and tell them you want this and that fixed before you move in. Otherwise you won't buy it!

Mrs_Thrify

Oh dear - be polite and keep talking - go to visit them - prehaps they will come to an arangement rather than loose a sale?

Good Luck....Julie

Jonbvn

AFAIK, you are not legally bound to purchase the house until you exchange contracts. If you pull out now, you will only lose your reservation fee only.

Do not let the developer rail-road you.

[Deleted User]

This is the latest in a long line of problems I've had with them including them trying to charge me another £300 for the standard kitchen units as they decided to make them "deluxe" and the sudden appearance of a footpath across the back of my property.

If worst comes to the worst, would I be liable for any additional costs if I told them to shove it? Because that's how I feel at the moment.

So going through the snagging process might be a way to push things back? So if they serve the 14-day notice to complete and, hypothetically, I find that the roof is leaking or someinthg, can I tell them that I won't complete until it is sorted? Am I within my rights to do that also?

Another place new development has sprung up and with the money I could save by October, and the additional wait, I could afford a 3 bed on my own and I am that annoyed I feel like walking away now.

Note: I exchanged contracts pretty early on in the process. I agreed to buy in Feb and contracts were exchanged in March. Still, that doesn't leave me open to this kind of railroading does it?

Nomove

Hi,

Lessons: Stay clear of Barrett's brokers and solicitors as they are not really acting independently and with your best interest in mind. Ask them who they client is--you or Barretts--and you will get a funny answer.

In this instance, if you have exchanged contract and have been served notice to complete within x days, you are stuck. However, in practice they know you are buying an overinflated property which is not in any way unique (sorry, have to be honest), so they will go to extreme lengths to get the sale completed.

You should, I think, employ a professionel snagger, who will survey the property for a small fee--250-350--but usually they come up with a very long list of items which need rectification. This you can use as a pretext to not complete on time, as you have bought a property which must be to the show house standard you were shown. So my advice is do not attempt to create a snagging list yourself as you won't have the eye nor the experience in spotting small discrepancies. Hire a snagging surveyor and sit back and enjoy the show.

[Deleted User]

I haven't been served notice to complete yet, but when they do serve you have 14 days to do so. I exchanged contracts a few months back now.

It just beggars belief that they can sell you a house by showing you it is affordable because it won't be ready until a certain time and then just change it because it suits them.

If I get a snagger in once they serve me notice, am I entitled to say I'm not moving in until everything is sorted? Even if there aren't any major faults. IE could I refuse to complete if the back door was a bit sticky or something or would it have to be something serious like toilets not working?

What costs would I incur if I just told them to stick the house?

mightymouse

Hi

Note: I exchanged contracts pretty early on in the process. I agreed to buy in Feb and contracts were exchanged in March. Still, that doesn't leave me open to this kind of railroading does it?

How and without a deposit, ask your solicitor and your financial (barratts) advisor how you were led into this............do you want to complete the purchase?

[Deleted User]

mightymouse wrote: »

do you want to complete the purchase?

I'm not sure I do. It depends what costs I would incur. If they turn round and say I still need to pay the deposit if I'm not going to complete then I mgiht as well take it and rent the whole house out unfirnished. But the way I feel at the moment I'd be happier to walk away. As I mentioned earlier, this is the latest in a long line of problems that are down to Barratt

ZZZZZZ_2

Hi

I have had dealings with Barratts previously, in this instance, given that you have exchanged, you should contact them and explain that you can only complete in October. I have done this - once because I was out of the UK when they wanted to complete and once because my lawyer had cocked up - they were reasonable about it. It was just a case of being firm, calm and polite. Of course they will try to get you to complete as soon as possible, but stick to your guns. Try this approach before escalating it - and this will depend on whether they have kept updating you on progress re the build and completion dates.


Good luck!

plane_boy2000

I would approach them and explain that you will be unable to fund the deposit in that timeframe and explain that although you are aware of teh contract terms the sales team led you to beleiev that teh property would be completed in October.

It may be worth directing this to the regional sales office rather than the sales staff in the office as they are usuall poorly paid, and to be honest not that bright. They will just do what they are told and quote the company line.

Not sure of the legal implications if you do not complete after having exchanged contracts, but I would assume that it would cost you money. Read your contract and see what it says.

Its also worth trying to find out when their financial period is as they may have pulled your house forward to get it into an accounting period - if thats the case then you are in a better position as they will not have time left to sell it to anyone else so you could try telling them that they will have to increase their deposit contribution for you to complete early