Redrow new build- negotiations

boltonangel

Hi

My DH and I are very interested in a 3 bed new build by Redrow priced at £255k using help to buy but as we've never bought a new build before I'm confused about how much I can expect to negotiate with Redrow.

The house is a fair price comparing it to other new builds on the development (lots of other companies on site) and also 'second hand homes' on site.

The upgrades we would want would be flooring, turf, integrated dishwasher, fitted wardrobe to master and spotlights in the kitchen. We're happy with the non upgraded kitchen units.

What should we expect to get 'knocked off' I like haggling but I usually have a clear idea of what the seller can go to but in this circumstance I don't have a clue!

I mentioned to the sales advisor that Barratt were offering 5% towards deposit or stamp duty paid with flooring but he just said I'd have to negotiate after reserving. I'm hesitant to reserve without knowing what the true cost will be.

Anyone got any ideas?

Thanks

boltonangel

I should also mention that the development is almost complete and a lot of developers are moving off the site so I can't play them off against each other too much.

Jon_B_2

Firstly you call the shots. Negotiate before reservation. They need the reservation as it ties you in. Incentives and giveaways will be on the reservation form.

It is unlikely you'll haggle anything off the list price. Dependent on area. Developers are not struggling to sell houses at the moment especially with the Help to Buy scheme.

I've negotiated with Bloor and Bovis in the last couple of months and neither would budge at all on price, but would talk about flooring etc.

My FIL has recently reserved with Redrow and again no budging on price.

BIL recently did successfully negotiate 2% off Persimmon home. Difference being they are still struggling to sell houses on that development whereas all of the sites we were looking at are selling really quickly.

Stamp duty paid is dependent on site again. With the changes coming in at the tail end of 2014 this incentive is not needed as much. Your stamp duty now will only be just under £3k as opposed to around £8k on the old scheme!!!

boltonangel

Thank you!

jaxkesa

Bovis told me they could not budge on the price as they have to pay the government to use Help to Buy anyway. This seems like a flaw in the scheme as it means they then just rather sell to buyers not using Help to Buy.

kingstreet

jaxkesa wrote: »

Bovis told me they could not budge on the price as they have to pay the government to use Help to Buy anyway. This seems like a flaw in the scheme as it means they then just rather sell to buyers not using Help to Buy.

That isn't true.

NewBuy used to cost them 3.5% of the purchase price. HTB Equity Loan costs them nothing. It's you borrowing the money from HMG after all...

ethank

Some builders use this lie. It is not true!