Selling a New Build House inside a Year of Purchase

MPJ52

Hello,

This is my first ever attempt at adding a forum article, so I hope I articulate my predicament well enough that I get some responses!

I purchased a new build house in May this year via the help to buy scheme with my partner. The house cost us just under £270,000 for a four bed with a garage in a decent part of Leeds. House is great, completed to a great standard and we were the first to move in on the development, so get the impression we got a bit more red carpet treatment that some others have since been afforded.

However, grey clouds are currently starting to pass over. Not on the house, but on our relationship. I am very concerned that we are on the brink of breaking up, so my mind is already turning to what happens if that eventually occurs. How easy will it be to sell the house on and realistically, for what price?

Most of the other four builds on this development have actually sold for much more and the area is known to be a good one, with good road / rail links. However, I can't help but realise that selling after such a short period of time could destroy your bargaining power substantially. Would if the worst comes to the worst, an ability to be patient over the sell be the best way forward to not lose value? Appreciate that will be difficult but if its an amicable break I am thinking this isn't out of the question.

I am aware there will be also mortgage fees to consider here, but to be honest aslong as I walk away with the majority of my deposit back I would be a happy man.

Suggestions / Help would be very much appreciated :j

AnotherJoe

Too many unknowns, but I don't see why selling within a year would "destroy your bargaining power" at all, I just don't follow that.
Good luck with your relationship, I hope it works out the best for both if you. Are you talking about this together?

davidmcn

Are the developers still on site? Pretty difficult to sell other than at a loss when you only have a "second hand" property and can't really offer the incentives that the builders might have.

MPJ52

the developers are on the site till the end of 2017. They have sold about 60% of the plots now, completing on about 40% I believe.

To me the bargaining power comes from the fact that they will know there is reason why we are moving so quickly. The builders haven't offered many incentives I know because of spoken to a lot of our neighbours - we all tried to negotiate on certain things when buying and they played hard ball because they knew it was a sort after area and wouldn't struggle for interest (Plus its not that big a development, so they can afford to be a bit picky).

AdrianC

davidmcn wrote: »

Are the developers still on site? Pretty difficult to sell other than at a loss when you only have a "second hand" property and can't really offer the incentives that the builders might have.

This is the key...

If it's a desirable development, and it's sold out, then you may sell easily and well.

If you're competing against the developers, who still have a stock of new-built-un-lived-in plots (especially if they're not completed yet so can still be configured for finish options), then you're going to have to beat them on price.

C_Mababejive

Would a new build sell for more anyway? arent they over priced from the get go?

MPJ52

over priced in what way exactly?

AdrianC

C_Mababejive wrote: »

Would a new build sell for more anyway? arent they over priced from the get go?

You may think they are. I may think they are. That's why we don't buy them.
The people who do buy them clearly don't think they are - which is why they DO buy them...

The question is whether the people considering buying a no-longer-new-build agree with those who bought it new...

MPJ52

well articulated point. You essentially need some luck really don't you with this sort of thing. One thing that may play well is that a lot of people who moved here are actually people who lived only a few miles away but kind of "upgraded". But like you say, it really depends on someone's persuasion on whether they like something older with character or newer but clinical (Amongst many other things)

Hoploz

Try to make your relationship work. Talk to your partner.

AdrianC

MPJ52 wrote: »

But like you say, it really depends on someone's persuasion on whether they like something older with character or newer but clinical (Amongst many other things)

And, of course, many of the "newer but clinical" want "shiny new, nobody's ever slept here before".