Negotiation on New Build possible?

borborygmous

nick1231 wrote: »

Apologies i thought i had already listed that information - its in Birmingham.

I'd echo others' caution about zoopla estimates, they are often wildly off.

House prices can be incredibly variable from one property to another and I've found you have to really get your eye in to understand what makes the difference (admittedly I'm in London, but I expect as far as variability goes it's no SO different elsewhere?).

I bought my flat at getting on for double the price of somebody else less than 12 months earlier, same building - but I think that was a repossession and major refurbishment. A month later it sold for I think 230k rather than the 200k I bought mine for. What made the 30k difference? Nicely redecorated etc, nicer view, but slightly smaller because no bay windows. Otherwise identical.

That's not my reason for saying zoopla estimates are often way off, by the way - other evidence made that clear to me.

i suppose the best way forward is to ask them to return my reservation fee - tell them that i'm prepared to offer 190k and see if they return back to me.

You'd probably be doing yourself a favour if you go back and read what you signed first...

gsmmad

I'm buying a new build in Harold Hill at the moment. About 16 months ago the average house price for a 3 bed terrace was around the 220k mark. Now it is around 325k. Zoopla estimations mean nothing. Demand is everything.

I initially called to find out if I could make an offer and was told no straight away. There were 3 other people interested in the plot that I wanted. I ended up reserving the next day without seeing the property as the show home was not ready. The seller kindly gave me 2k towards legal fee's but that was all. I'm not happy with the price but that's the current market at the moment. House prices will only rise in that area due to the pending Cross Rail.

Another development nearby has gone from selling houses at 284k Q3 last year to asking for over 350k now.

nick1231

I appreciate the responses in relation to current prices but I cant see how the demand is as much as they are making out. They've just released another 6 plots (off-plan) 1 of which is again the same build type I'm assuming due to expected new year wish listers who may want a new house. More importantly, At the time we reserved our plot (over 1.5 months ago) there was an identical plot, exactly the same build type, put up at the same time, which is still up for sale on their websites and I still get the spam texts to say its up for grabs so if they can't even shift the other plot im fairly confident they wouldnt have any lined up to pick ours up straight away!

Its not just Zoopla I've used in checking house prices I've looked at the land registry which lists all sale prices for the site and NONE have gone for what was originally asked for on their website. (latest listing was Sep 2015 which was not too long ago which went for £10k below asking) so to ask for 4k off list i dont think im asking for too much.

'Technically' I haven't pulled out as I just went back with a counter offer for them to see if they will compromise. Still working out if its worth dealing with a scorned gf for the next few years or saving money!

Jon_B_2

I think you also need to beat in mind that people won't necessarily go for a specific house type and that plot location is quite a significant decision point.

For us, we would have never considered the equivalent house type in another location on the plan...

Vampgirl

nick1231 wrote: »

At the time we reserved our plot (over 1.5 months ago) there was an identical plot, exactly the same build type, put up at the same time, which is still up for sale on their websites and I still get the spam texts to say its up for grabs so if they can't even shift the other plot im fairly confident they wouldnt have any lined up to pick ours up straight away

Don't put too much store on what is available on their website - our builder's website was almost always out of date. In fact our entire street never even made it onto the website (they were all reserved as soon as they were released), and I know of several houses which were still on the website for weeks after being reserved. The only way to check what was really available was on the master plan of the site in the sales office: each plot marked by a colour coded sticky dot (available, reserved, exchanged, completed).

It sounds to me like the thing that's most bothering you is the fact that you didn't get a discount out of them, whereas earlier purchasers did. Its all market driven though - they'll discount when they have to and they'll play hardball the rest of the time. I think the only way you'll get through to them is if you call their bluff - but I'd double check that those other plots really are available before doing so because you might end up losing!

I remember there was one buyer on our estate who from what we saw of him was a real PITA throughout the buying process complaining about this, that and the other. In the end the although they'd already exchanged the builder simply offered him his full deposit back (which he accepted), put it back on the market at £15k more and sold it within a couple of weeks.

nick1231

Vampgirl wrote: »

It sounds to me like the thing that's most bothering you is the fact that you didn't get a discount out of them, whereas earlier purchasers did. Its all market driven though - they'll discount when they have to and they'll play hardball the rest of the time. I think the only way you'll get through to them is if you call their bluff - but I'd double check that those other plots really are available before doing so because you might end up losing!

To be honest that is really the issue for me - we've been told a completely different story from what others have been told. My pet hate is being taken advantage of and i recognise that i'm being treated differently because of how we initially dealt with this plot. Thats why i'm trying my best to rectify these mistakes so we are treated equally.

Vampgirl wrote: »

I remember there was one buyer on our estate who from what we saw of him was a real PITA throughout the buying process complaining about this, that and the other. In the end the although they'd already exchanged the builder simply offered him his full deposit back (which he accepted), put it back on the market at £15k more and sold it within a couple of weeks.

Well i've done my utmost to be polite and civil with all discussions as i know how emotions can affect any type of negotiation. So i'm hoping they dont perceive me in the same way as the one you have referenced!

AdrianC

nick1231 wrote: »

To be honest that is really the issue for me - we've been told a completely different story from what others have been told.

Really? You know this for certain, do you? How?

If you're merely looking at the sold prices, then you have no idea what the market conditions were at the time, or what the buyer's position was.

To be honest, this is sounding a lot like buyer's remorse. The time to do research is BEFORE you commit to a purchase, not after.

nick1231

AdrianC wrote: »

Really? You know this for certain, do you? How?

If you're merely looking at the sold prices, then you have no idea what the market conditions were at the time, or what the buyer's position was.

To be honest, this is sounding a lot like buyer's remorse. The time to do research is BEFORE you commit to a purchase, not after.

Sold prices and other research online i've done since my situations has all lead me to believe that deals can be done; especially as i was aware of the market prices and can also see the sold prices...

You're right it is buyers remorse and I have already openly recognised I should've researched first. But I messed up! hence is why I'm on here looking for advice from yourselves on how best to improve my present situation.

I only want to rectify my circumstances so i can be treated the same

kingstreet

Cancel your purchase and move on.

Next time, do your negotiating before you complete a formal reservation and pay the reservation fee.

There are other sites/builders/properties.

Robster88

borborygmous wrote: »

I'd echo others' caution about zoopla estimates, they are often wildly off.

Tell me about it! The Zoopla estimate for my house is nearly double that of the Mouseprice estimate - not sure where the half a million pound discrepancy comes from but it shows not to really trust these valuation websites..