New Build Offer?

Laura3291

Has anyone successfully got a new build for cheaper than the price quoted? If so by how much? We want to offer less but don’t know how to go about it. I wondered if saying we’re ready to move in ASAP would help?
Any help would be much appreciated

RelievedSheff

We didn't get anything knocked off the asking price, although our plot was already heavily discounted, but we did get £10k deposit contribution, a good part exchange price, stamp duty paid, legal fees paid and moving costs contribution.

pinkteapot

As with offering on any house, stressing your position can help but ultimately they'll have a price they're willing to accept and you may or may not reach it. Salespeople at new-builds are the sharkiest of sales professionals and will play hard-ball with you. You need them to believe you'll walk away if they don't drop the price.

That being said, builders aren't keen to drop the price if the development is still being built. If you complete while houses are still being built then future buyers on those could see your completion price on the Land Reg data. The builder wants it to look like everyone's paying asking price. That's why you're more likely to get a deal on the optional extras, or stamp duty paid, fees paid etc., as the poster above did.

sst1234

How much is the house you are offering on? Who is the developer? How many houses on the development? Where in the country?

HanPop

Yes we did but it’s a long story. We reserved the house in Feb and got to exchange and our buyer pulled out. When we had another offer it wasn’t enough for us to proceed with the new build but we told the sales lady (who by this point I knew quite well!) and told them about the offer we’d had and within 24 hours they’d come back with a ‘package’. She said that they couldn’t just knock that amount (£13,000) straight off the house as they still had more of our house type to sell and the surveyors from the mortgage company tend to go off the price of the last one sold. So they knocked £7000 off the house, paid stamp duty (£4000) are giving £2000 cash back and we are not paying for any ‘extras’. I think we got a very good deal as the house was not overpriced anyway (I know most new builds are but I have done a lot of research and this is why we chose this house/development) but I think it’s just the circumstances we found ourselves in, along with the fact that they already ‘know’ us and also they mustn’t be selling that well.
You can try and negotiate price but they are more likely to pay stamp duty etc.

Crashy_Time

pinkteapot wrote: »

As with offering on any house, stressing your position can help but ultimately they'll have a price they're willing to accept and you may or may not reach it. Salespeople at new-builds are the sharkiest of sales professionals and will play hard-ball with you. You need them to believe you'll walk away if they don't drop the price.

That being said, builders aren't keen to drop the price if the development is still being built. If you complete while houses are still being built then future buyers on those could see your completion price on the Land Reg data. The builder wants it to look like everyone's paying asking price. That's why you're more likely to get a deal on the optional extras, or stamp duty paid, fees paid etc., as the poster above did.

Yes, but how many people would actually believe that the average new-build is worth "asking price" nowadays?

John_Smith_2019

Crashy_Time wrote: »

Yes, but how many people would actually believe that the average new-build is worth "asking price" nowadays?

That's irrelevant to the house builder.
They've got the money for the house. That's all that matters.
However much debt the buyer has and whatever share of the house the govt have purchased doesn't matter to the house builder.

Crashy_Time

John_Smith_2019 wrote: »

That's irrelevant to the house builder.
They've got the money for the house. That's all that matters.
However much debt the buyer has and whatever share of the house the govt have purchased doesn't matter to the house builder.

It`s very relevant to the house builder if people stay away from new-builds or property purchase in general, why do you think they introduced shared ownership and HTB?

sst1234

John_Smith_2019 wrote: »

That's irrelevant to the house builder.
They've got the money for the house. That's all that matters.
However much debt the buyer has and whatever share of the house the govt have purchased doesn't matter to the house builder.

It is totally relevant.if you’ve ever bought a new build before. Otherwise it’s a piece of string question. Some people will answer and say we got money off our new build. Others will say we got nothing while a few will have got some incentives. For realistic advice you absolutely need to give this detail.

SmashedAvacado

Builders will want to have more deals exchanged before their year end - if their financial year end is December and you can get exchanged by then, they may take an offer
Builders will want to sell their inventory particularly if the scheme is coming towards the end (is it nearly complete) - if they only have a couple more to sell then they may take an offer
Builders will want good evidence of other sold units on the scheme to avoid deals falling through from weak valuations - so if they have many more to sell, protecting asking prices is more of a concern
Builders will have debt - some of the debt covenants will set out a minimum price - also debt is expensive so if they can get sold, that helps them

Basically there are loads of what-ifs. But if you don't ask, you'll never know.

AdrianC

Laura3291 wrote: »

Has anyone successfully got a new build for cheaper than the price quoted?

It depends entirely on demand for THAT property type on THAT development...

If there's a lot of demand, they won't shift on price. If there isn't, they might.

We want to offer less but don’t know how to go about it.

"We like this, but we only want to pay £X."
...then...
"Oh, you've rejected it. Well, thanks, goodbye."
...or...
"Oh, you've rejected it. Well, we could possibly up the offer a bit to £Y."

I wondered if saying we’re ready to move in ASAP would help?

Are the properties ready to move in to?

If so, that suggests demand has been low, because they haven't sold off-plan. But being chainless won't help much - a large proportion of new-build buyers are chainless, because of either breaking the chain due to timing uncertainty or because of HtB.