So Annoyed- New Build Rip Offs!

poppy10_2

170k is generous - Leeds is totally saturated

CYBERCIDERSAVER

What I want to know is when is a new build no longer a new build. We have a small development of 5 houses in our area and they have so far been unable to shift them. Must be close to being completed a year now. Surely they're not new now. just unwanted!

DaveyDave_3

Firstly, don't buy a new build. They're nearly always bad value for money and these days are poorly built and finished. It's a bit like buying a new car - it depreciates considerably as soon as you buy it.

Secondly, I reckon there's going to be a large correction/crash in the market next year (in fact it's already underway) and flats and new-build prices are going to get an absolute bashing. These are typical BTL properties and once landlords realise that they're not going to make any money on them, they'll be dumped on the market and the prices will drop.

Consequently, I'd say give it 6 months and see what's happening then. My bet is that prices will be dropping. Let's face it - if the stiffist market supporter such Nationwide reckon that prices are going to be stationary next year then it's guaranteed that they will plummet!!. Their estimates are alway over optimistic. Even todays Rightmove figures show a monthly negative and these numbers are based on 'asking' prices not sold prices which will be lower still.

RoxieW

Thanks everyone for advice. We are planning to just keep saving and see what happens with prices next year. Any opinions on when would be a good time to buy next year? Do prices pick up in spring but then drop towards the end of the year, generally?
I know no one really knows for sure but we're already at the top of our budget for what we want and my nightmare is that we leave it too long waiting for a drop and prices go up again putting it forever out of our reach!

I know may people hate new builds (and them changing specs is scary - I didn't know that!) but I'm seduced by the shiny packaging i'm afraid.

carpetbelly

imo prices are just going to stagnate, and give us a slight correction, for a year. Some people say that they will drop. Obviously there's a slim chance that they will go up but that's unlikely though possible (who doesnt want a crystal ball eh!).

There's no harm in saving for another year and buying this time next year to see how things have panned out. Maybe start looking augusty time if you want to leave it that long. As if the prices stay at the current level or drop, by saving you're not going to have lost out really are you. If they rise, well, not likely but it is a gamble after all and there are the improbabilities.

Just do a general search on rightmove though, put in around £20k less than your budget for the rooms you want. Having lived near Leeds I've seen some houses for that budget there that you couldnt go wrong with really.

RoxieW

Just seen a very very nice house that is a repossession - on at 180000 but the estate agent said they may take less. I'm right in thinking that we'd be dealing with a bank here? What would be a sensible offer? thanjks guys!

carpetbelly

£180k? I'd prob put in a cheeky starting offer of £150k and see what happens.

RoxieW

Really? Are you serious?? Don't want them to think we're taking the !!!! and lose out to someone who puts in asking price. Am a scaredy cat! Who considers the offer, just some bigwig at the bank? Are they generally quite keen to offload quickly?

carpetbelly

well, I know the estate agent is working for the vendor and always do but have a chat with them but keep your cards close to your chest. See what needs doing on the repo, does it need exchanging within a certain timescale? All the ones I looked at were within 28days. Do all the services need reconnecting and at what cost? Does anything need repairing?

150k isn't taking the p155, it's putting in a low serious offer. You never know that with a repo the lender selling the property might insist on publishing a 'notice of offer' in the local rag giving people a chance to offer higher bids thus you might loose unless you match a bid.

Lost of things about repos, but you need to chat to the estate agent some more and see what needs doing to it first. And dont tell them you can go higher, only go higher when and if you're ready to.

RoxieW

It was a new build (3 years old) but it looks like its never been lived in - theres plastic still on the taps and everything brand new. My only guess is that they bought it off plan or something bu tnever actually moved in

The electricity is off, not sure about gas and water - will ask.

Thanks!