Help to Buy and Part Exchange/Assisted Move

daz_79

Hi, we have reserved a new build but the buyer of our current house has since pulled out and we are running out of time and prospective buyers by the looks of it.
We spoke to the developer and rather than cancel our reservation as we expected, he has instructed valuations for part exchange or assisted move purposes. We did tell him we plan to use Help to Buy as we are unlikely able to obtain a 95% mortgage but this hasn’t changed anything. We do want the new property and would love to be able to use PX or AM but from what I’ve read I don’t think they can be used with the Help to Buy scheme.
Has anyone experienced anything similar and been able to use PX or AM with Help to Buy?

Would love to know if this is a viable option for us.

Thanks

alex_163163

Afraid I can’t give a positive experience answer - I was buying a new build last year (subsequently pulled out for different reasons) and had a property to sell. When I asked about part-ex, I was told by the developers suggested mortgage brokers that it isn’t allowed to part-ex and use help to buy.

kingstreet

You can't use PX on HTB, but you can use an assisted move scheme.

Time2go

Assisted move is purely where they pay your estate agent fees and we are using his and htb.

Part ex cannot be used with htb

daz_79

Thanks folks. Confirms my thoughts that we won’t be able to use HTB and PX. We will pursue assisted move but it worries me as it’s a bad time to sell a house.
Can anyone advise the timescales involved and if we can choose to accept or decline an offer? I’ve heard from some that the developer can insist on an offer being accepted even if ridiculously low. We are prepared to drop as far as we can but have a point where we won’t be able to afford fees etc if we drop below that value.

kirtsypoos

We went through an assisted move scheme with Barratts before pulling out for various reasons.

They were given 3 prices by the 2 agents the instructed - list price, expected to achieve price and what they called forced sale price - the first 2 were negligibly different but the forced sale price was 20% under what other houses in the vicinity had sold for. It went with the agents for 3 weeks at one price, to be reduced after 3 weeks by 5% and we were told if it hadn't sold after 6 weeks it would either go to the forced sale price or we could pull out.

We got an offer on the 2nd week so didn't have any concerns with the above, I don't think they can actually force you to sell at the ridiculous price, but they can remove your reservation on the property.

Time2go

We are using Persimmon and all it really means is they are paying our fees. The actual plot is. It officially reserved untill your property has an offer on it so we have gone through two plots so far and lost and got back a plot: you still have ultimate control whether you accept or decline an offer but if you decline one you may find you lose your plot if another person is ready to proceed.

The advert says they take all stress away from you but we have found we have still had to do all the chasing. This hasn’t been helped by otherside solicitor being very slow and estate agent with adversion to chasing other side

daz_79

Thanks, that information is useful. We can’t use PX unless we can get a 95% mortgage which is unlikely and then the PX price would have to be acceptable. We have reserved a plot as we thought we had a buyer who since pulled out. Assisted move is the likely option then if they agree to it as I’m sure their sales will dip over winter so they won’t be so pressing to push us. Having said that, interest in my house will probably dip given the time of year.