Being forced to complete on day of exchange

Lottie12

We are buying a house from sellers who are purchasing a New Build. No one else involved in the chain. We have been advised that due to the sellers house being a new build we have to complete within 28 days. As we are not buying a new build (the sellers old house) we are having to conduct the usual searches, surveys, and so on so it will be very tight even to exchange in 28 days on our side, but we are fully committed to trying! However the sellers are saying the builder is insisting it needs to be completion in 28 days not exchange of contracts. Is this correct? I can't give notice on my rental home until I know the sale is certain (once exchanged) and was expecting the usual 4 weeks to arrange moving, give notice. I can't really afford to pay a mortgage and rent at the same time. Should I get my solicitor to argue my corner or is this normal?

G_M

You cannot be forced to complete in 28 days.
You cannot be forced to exchange/complete same day.

Just do your best to move forward fast as you can, and negotiate a short gap (a week?) between.

Of course, the seller could turn round and reject your offer if you don't do as they want, but then they'll have no buyer will they? Remember they want to sell (and buy) just as much as you do.

david1951

You won't be able to exchange without everything in place anyway (sufficient funds, mortgage offer, surveys satisfied) - the solicitor acts for the lender and will not let you.

Before you spend money on the survey, mortgage, etc. you need to be sure that they can wait for you to be ready. It is likely to take 8-16 weeks (or longer) for your solicitor to be in a position to exchange.

Frankly, 28 days to completion is ridiculous and they need to be told that now.

dc197

It's normal for one party to the (proposed) contract to throw their weight around and demand particular dates for completion, whether they be tight, simultaneous or protracted.

Your team (your and your solicitor) negotiate with their team (seller, their solicitor, and estate agent) until both teams agree. If no agreement can be reached, the sale might fail.

If their team won't compromise you'll have to agree to their dates or pull out. And if you pull out they will probably not be able to find another buyer within the timeframe, so they'd be wise to be a little more reasonable with you.

How long ago did you agree the sale? If just a day or two they they are being unreasonable.


My seller initially rushed me and then suddenly demanded a huge waiting period before completion. Despite my protestations, I agreed to their date since they would not budge.

Lottie12

I say forced - they are demanding and trying to back us into a corner, but they've got as much to loose as us. Offer was accepted a few weeks ago but due to waiting for my partners work contract to be renewed we have only just started getting on with the mortgage (seller was aware of this) but as they hadn't started looking for a house at that stage no one was worried. I'm more than happy to aim for an exchange in 28 days or thereabouts and then completion 28 days after that which is (I thought!) fairly standard (and reasonable) for a gap between the 2. I just want to establish that its normal for new builds to try to exchange in 28 days rather than complete?

Thrugelmir

The fact that they are buying a new build isn't your problem. So don't let it be. When is their new build going to be ready for occupation?

bris

Don't make promises you can't keep, that can be very expensive if you get it wrong. Speak to your solicitor and my guess is he will say it's cutting it very tight.


Yes it is normal for new build to have a 28 day deadline but that shouldn't fall back on you.

hazyjo

Quickest I've done is 5 weeks. Longest, 5 months. There are no guarantees, and 4 weeks is crazy. Most new builds have that clause. They should have thought about selling their house first, not at the same time. Gonna be tight - let us know how you get on.


Get your solicitor to talk to theirs (hopefully they went independent and not used the developers' recommendation). Also advise they email the developer/agent every day with updates on where they're at and what they're waiting for. Might keep them off their back.


Jx

cloo

Almost 100% certain to be total nonsense. In the buying/selling process a 'need to' deadline means 'would like to', and they're relying on buyers being intimidated enough to rush everything through. Everyone wants things concluded ASAP so no one can change their mind (and in some cases, vendors perhaps don't want things being looked into too closely).

Tammykitty

Personally I would find the 4 weeks between exchange and completion too long.


I would only want a week or 2.

Lottie12

I have to give 4 weeks notice on a rental place - surely that is quite common? Obviously if I was going from selling one house to buying another I'd be happy to shorten that.