Looking for advice/tips on buying new build

spirit

Hi all,


I've bought and sold plenty of previously owned houses, but never bought a new build from the developer (Persimmon)


I've visited the site already, due to go and have a look at a specific plot next week.


I live a couple of hundred miles away currently, so can't just nip in to see. I have an offer on my house.


so I know the process/pitfalls/things to look out for with selling/buying as have moved about 5 times in the last 10 years.


so what is the buying process for new build please? I won't be needing a mortgage by the way


many thanks

da_rule

The process is pretty much the same as for any purpose except surveys etc are usually done off of the plans. Although as you don’t require a mortgage, the surveys you need may be limited (if any at all).

The main difference is that you insure (in most circumstances) at completion, rather than exchange. Also, you may not have a completion date at exchange, rather completion may be on notice with a long stop date (depending on the build progress).

The main thing is snagging. There are now specialist companies that will go in to new builds and snag them before completion. Developers don’t seem to like these companies, but it would be a good idea, especially given the distance you would have to travel.

spirit

than you da_rule.


i'll look into these snagging companies

SmashedAvacado

You should think, at the negotiation of price stage, not once your offer is accepted, that you have a right to walk away and the return of your monies if the building is not completed by a particular time (eg six months from when they are telling you now). If they don't agree this, you have to seriously question whether they will stick to the timing.

You should also make sure you have a right to have your own snagging inspector come and and an obligation on them to make good the snags and to undertake a further inspection. Often you only have e right to do an initial inspection which means you cannot check if they have done the snags

I would insist I am not required to complete until they have a building completion certificate and provide the copy of it - as many developers fail to get around to this and its a pain

I would also make sure that the finishes, equipment etc are properly referenced in the contract - the brochures count for nothing so if you are banking on particular fittings, then get that in a schedule to the contract

I would also want to be clear about things like the condition of the garden (ie will it be landscaped), and any covenants they are looking to impose about work - basically once you own, you should be able to do what you want to do unless there is a prior legal reason why you can't.

Make sure you check the location plans and the floor plans (which they might try to make non binding - which you should oppose - carefully as they often get things wrong which can lead to issues when you come to sell.

Make sure you use a high quality solicitor.= the majority of the market isn't competent to do this work - even though they will say they are

spirit

That's really good advice, thank you smashedavocado.


I'm aware of the ahem, current reputation of Persimmon and belong to the Facebook page for the development. It's for residents/potential residents and I've asked them about their experience. Most have been quite scathing about Persimmon, but many are first time buyers and it appears that they have been less than open with them (re leasehold and other things) luckily this phase isn't leasehold.


I'm going to print out your reply above to prompt my questions when I visit next week.

spirit

Bumping this as bad moved to page 2 and others might have missed it.

FTBAngst

The phase might be ‘fleecehold’ if not leasehold. Usually covenants in the contract are non-negotiable.