Persimmon - Exchange Contracts Months Before Completion

ameikle

Hi,

I'm not sure if this has been covered before, so apologies if it has.

Me & My partners went to view a development around the corner from where we are currently living, which is a Persimmon Site (Bluebell Meadow).

On our first meeting the plot available wasn't in a time frame that we were comfortable with, and were planning to wait for the next set being built around the corner and are the last of that phase.

Our favored plot is now available after being told it could be months, it was only 2 weeks and have spoken to their mortgage advisers because, well we had to if we were interested in reserving anything. AIP is all good and the fun will begin once they are open tomorrow, i'm assuming i will be bombarded with calls.

One thing i can't understand is, i assumed i payed a reservation fee then exchanged once the house is started as the house is a May-July completion, based on this we will have our deposit available. According to the sale adviser exchange would be within 35 days of reserving, so potentially 6-9 months before completion, therefore isn't an option but the mortgage adviser implied that the exchange would be closer to completion. So they suggestion exchanging with lower deposit and paying the remainder on completion, which is fine but not something I am 100% ok with as the condition is to go with their mortgage adviser and solicitor (gets £500 of extras included).

So the questions i have are:

Is it normal to exchange so early?

Has anyone bought with Persimmon and agreed to exchange closer to the date for completion? (I would say around when the extras are ordered as you are personalising it would be fair)

Does anyone have any tips for getting the best deal?

Has anyone dealt with Evolve Financial Solutions before?

Also if this has been covered before please let me know.

Thanks!

jennhg88

Is it normal to exchange so early? Yes. They like to lock you in.

Has anyone bought with Persimmon and agreed to exchange closer to the date for completion? (I would say around when the extras are ordered as you are personalising it would be fair) They set a 35 day exchange timeline, which often runs over. However if the site is popular and selling fast they may not want to purposefully delay exchange as they could get someone else locked in instead in a quicker timeframe. Best to speak to your specific office.

Does anyone have any tips for getting the best deal? If you are asking for extras included prioritize the ones you really want or will be more hassle to do yourself after you have moved in. Often stamp duty, flooring, turf etc are the easy wins.

Has anyone dealt with Evolve Financial Solutions before? Fraid not sorry.

eddddy

ameikle wrote: »

Has anyone bought with Persimmon and agreed to exchange closer to the date for completion?

The builder will look at it this way...

If you're not prepared to exchange now with completion in May/July, they will leave the house on the market until they find somebody who is.

If they can't find anyone, and it gets to, say, April, you can jump back in and reserve the house then - and only have a short wait until completion.

(But obviously the risk is that they do find somebody else who's prepared to wait 6 to 9 months from exchange to completion - so you lose the property.)

LMS94

Completely normal.

I've just exchanged on a property due for a Nov / Dec exchange (we did reserve in June & the developer took their time getting the contract ready).

I would be weary of persimmon as I've seen some very poor examples of brick work (this may just be in Yorkshire where I'm base).

Good luck.

ameikle

Thanks everyone for getting back to me.

I will be expecting a call from the developer today, as a potential buyer with an AIP with their preferred mortgage adviser i'm assuming they'll be quick on to me today as they have been closed the last 2 days.

LMS94 - when we spoke to MA they said we can borrow much more than the property we like, did you go with Persimmon? If so would be nice to know if they played hard ball after knowing what you can afford and whether they'd push a more expensive plot.

In the mean time i have spoken to someone who is in the process of buying one on the same site off the back of their parents doing so and being very happy with their MA and Solicitors, and shockingly the build quality.

They did say there was a yearly site charge, as the the council are not taking responsibility for the greenery, £100ish a year.

SMR710

We habe reserved a plot for a house that won't be ready til June to Aug 2019 so same time as yours. We've reserved with £1k but it's a small independent developer who isn't pushing us to exchange, we have been advised we would need to exchange next spring.
However.... it's very normal for your big national developers to want to exchange in a month!!
Good luck with your purchase

Unicorn_cottage

Why why why do people buy new build houses? They are riddled with problems and massively overpriced!

realgonekid_2

People buy new builds because they are gullable vain, nieve, stupid, easily fooled and no backbone

Thrugelmir

ameikle wrote: »

Is it normal to exchange so early?

Developer is going to focus on plots which are sold first. Not tie up valuable money in unsold units. Without exchange of contracts you could simply walk away.

ameikle

Thanks everyone who had something helpful to say.

Sorry to disappoint realgonekid, after a conversation with the developer and finding out the true extent of the extras required to make the house a home we are pulling out.

£700 for upgraded Kitchen cabinets.
Further £600 for matching end panels.
£1000 for a shower over the bath.
£650 for the cheapest built in dishwasher.
Carpets and Flooring £2000-5000.
£65 per additional tv point (lounge has 1)

That’s not including the ideals additional built in appliances, fencing which you pay half with all neighbours, turf.

It turns a £195,000 house into £200,000+. Money which I feel can be better spent elsewhere, not as modern, much bigger but more homely places are available. Plus I get to keep my money until the completion is imminent.

Not so gullible, I do not commit to anything unless all the information is there and correct.

jennhg88

ameikle wrote: »

Thanks everyone who had something helpful to say.

Sorry to disappoint realgonekid, after a conversation with the developer and finding out the true extent of the extras required to make the house a home we are pulling out.

£700 for upgraded Kitchen cabinets.
Further £600 for matching end panels.
£1000 for a shower over the bath.
£650 for the cheapest built in dishwasher.
Carpets and Flooring £2000-5000.
£65 per additional tv point (lounge has 1)

That’s not including the ideals additional built in appliances, fencing which you pay half with all neighbours, turf.

It turns a £195,000 house into £200,000+. Money which I feel can be better spent elsewhere, not as modern, much bigger but more homely places are available. Plus I get to keep my money until the completion is imminent.

Not so gullible, I do not commit to anything unless all the information is there and correct.

Did you try to negotiate to get those included in the price?
Or it can be much much cheaper to do things like that yourself/through your own person after completion.