Keepmoat buying process

Guru86

Good evening

My mother in law is currently selling her house had an offer accepted and currently going through the process.

She has put a 250 deposit down for a new build with keepmoat. She has had there legal team contact her to say she will exchange on 26th June and needs to pay the 5% deposit.

Now obviously she can't do this until she has completed on hers like a normal chain. I have never bought new build before and don't see how this can work.

Can anyone tell me if this right?

I have advised her to get her own solicitor and not use the builders.

Thank you

RIPironman

Hi there, I'm currently in the process of buying a new build. It does state in the documents that they require completion within 28 days of the reservation so it sounds about right.

They should have made that clear when she reserved though. Not sure where she stands on getting that extended.

dgtazzman

If her deposit is coming from the equity of the home she is selling, this is possible, but should have been arranged between the solicitors. If hers has not done so, or if she didn't make it clear that this was the intention, she will either have to hope Keepmoat is willing to change the arrangements made, or come up with the 5%, which she would then get back on completion via her sols.

Guru86

She hasn't approached solicitor yet she put deposit down about two weeks ago. If she speaks to one on Friday is this something we could probably arrange?

dgtazzman

Yes, it's quite common, just requires Keepmoat to indicate to the sols they are happy to wait for the deposit funds till completion, mostly under the understanding that if she pulls out between exchange and completion, the deposit will be due to Keepmoat immediately as compensation for breaching the contract.

Marktheshark

They are one of the better builders out there so she should explain to them setting out what she can do.

Guru86

Thanks I'm going with her tomorrow so hopefully be able to sort it