Bellway Part Ex now not happening..

John108

Evening all...


A bit of background myself and my girlfriend approached the local Bellway site and made enquiries about a new build and if part ex was available. We were told it was and the process was briefly explained, we were told that our flat was ideal for part ex due the price difference (flat approx. value is £80k and the house we wish to buy is £220k).


Last Friday we had the valuations done - one of the valuers was quite happy to discuss the process with us about what information he returns to Bellway. I have approx. £78k remaining on my mortgage but have separate savings which covers the required 10% deposit plus some extra so any valuation that is equal to or more than the mortgage would be good for us.


Anyway, today we had a call from Bellway with the results of our valuations...they value the property at £83,950 BUT...they can no longer do part exchange!! The reason is that they are only doing part exchange on plots that are completing in January and our plot isn't going to be ready until March. Does this sound normal?


I tried to get a better understanding but seemed to be hitting a brick wall but then she offered to have a local estate agent market our flat and they'd pay the necessary fees BUT we couldn't reserve the plot unless we pay our 10% deposit. Again does this sound normal? Her attitude was that she was sure they'd get my flat sold quickly. My argument was that if you didn't sell my house in the next 4 months id be left in a situation where my I couldn't get a mortgage on the new house as I already have a mortgage on the current house and don't earn enough.


Tonight, I have popped in to see one of the estate agents that valued the property and who Bellway are hoping to use to sell my flat and asked him for some advice and he seems to think that Bellway are juggling a few options and trying to force our hands...


Anyone got any thoughts? Anyone been in this situation? What happened?

Doozergirl

They can offer whatever incentives they they want to. Part exchange isn't something that they would generally offer initially - most will opt for a simple purchase over part exchange, so they will look for that first and then begin to increase incentives as time pushes on, deadlines approach and the properties left are perhaps the harder ones to sell.

They will probably offer part-exchange at a later date on March completions.

There's nothing to stop you doing things the old-fashioned way and selling your flat yourself.

getmore4less

Part exchange on early plots ensures people start moving in and can help maintain visible pricing once they hit land reg.
They can hide the discounts in the part ex.

lee111s

The other option they're offering you is the "express mover". You can't reserve until you have a buyer. I was about to use this service but then a friend of ours decided to buy our current house. Once we had a buyer Bellway were happy for us to pay the £1000 reservation fees.

The 10% wasn't paid until exchange and was made up of ours buyers deposit on our place, plus some savings.