Developer threatening to remarket my plot if exchange does not happen by end of week!

Maz1963

Hello all,
This may be common and standard, but it has me worried (after a fairly laid back process so far!).  I've just had an email from the sales office where I am buying a new plot, saying that they must have exchange by end of this week, or they'll remarket my plot. There are six of us in the chain (including the developer).  The process has been rumbling on for a while, but not for an excessively long time (4 months). I reserved about three months ago. I suppose it's all down to deadlines and the sales person is being pressured to push things along. 

I've just copied my solicitor and agent (solicitor responded immediately, she's very good) and will let the three of them fight it out, but it's unsettled me a bit. Has anyone else been through similar?  If the developer gets too aggressive, it will put me off buying there. I'll shoot myself in the foot though by having to rent something for a while, which I really do not want to do. I can't exchange on the purchase only as I can only buy it if I sell my current place.

Comms69

This is really normal, part of the reason part exchange is common

pinkteapot

The sales person just wants to see that you're making every possible effort to make exchange happen, and that the chain is moving forward. What issues are outstanding in the chain? What's currently stopping it from exchanging? If you don't know, get your EA to do a ring-round of the chain and find out. If your EA is decent they'll have a sales progresser who's doing this every week or two already. Then either you or your EA ring the salesperson and let them know where the chain is at, what progress has been made recently, and what's being done now to get to exchange.

martindow

Developers often set deadlines, sometimes a series of them, but the reality is that remarketing it is not going to result in an instant sale and you are probably nearer to being able to exchange than anyone else.  This is where your estate agent needs to be earning their money keeping the chain together by pushing things along and reassuring the developer of continuiing progress towards exchanging.

Thrugelmir

Developers target a 28 day exchange period. At 4 months their patience will be wearing thin. 

Maz1963

It's annoying as I thought the estate agent was quite good. It's the solicitor who seems to be chasing everything. The agent's fee is much higher, so hope he's doing something too!  He has given me updates before. Just emailed for another.  I guess I'm just  peeved at the threatening nature of the email, considering how much I'm paying for this place, but I suppose it's their business and that's how they operate.  I have replied saying I hope they don't decide to remarket it, as that puts me in a very difficult position (ie nowhere to move to!).  I hate chains but I don't fancy renting. I guess I'll have to put up with it for now and hope it all works out. I have tried very hard not to get emotional about this move, but it's really hard when something like this happens!!

Silvertabby

Nothing new.  when we reserved our new build in the early 1990s it had just been re-released for sale because the sales team had found out that the previous would-be buyer's chain had totally collapsed.

When we expressed an interest in the house, the sales rep was adamant that we must complete by (date) otherwise they reserved the right to re-market the property.

Fortunately, we were in Armed Forces married quarters - but I did wonder how people with property to sell managed.  

boxermam

We are in the same position. New house just waiting for us to move in with the threat of remarketing hanging over us. We are a chain of 3 and it's the first person in the chain holding things up. They have a lifetime ISA and the provider wouldn't accept an Esignature to withdraw the funds. It has taken their solicitor 2 weeks to obtain a signature and now we have to wait until funds are available. I have been chasing solicitors and EA every other day (it's the squeaky wheel that gets the oil) and begging the builders to hang on as it's not our fault. Hopefully we will both get there soon and I totallt sympathise.

Maz1963

It sounds like the developer is going to pull the plug on me next week and remarket the property. It's been a stressful couple of days.  They insist that I and everyone else in the sales chain (5 of us, unfortunately) has to be on a two week notice to complete.  They want us to exchange asap, but at the same time they can't confirm a completion date yet, so we all have to be on a two week notice. I've been told by my solicitor that once they state the date, we all have to move on that date, regardless of whether it suits and whether we can book a removal van! The solicitor advised that with houses that are not complete yet, the developer cannot confirm a completion date until the building regs bit has been confirmed, something about them breaching their contract. I don't really understand it all but wish the developer had told me all of this in advance! Maybe they did, and I just didn't absorb it.

I'm so disappointed as I thought buying new would be easier, clearly not. And perhaps I've been a bit naive, but I didn't know they would be so stringent about all of this when I started. I understand the deadlines of developers, but they know our chain is currently sound, so why it's so difficult for them to be a bit flexible, I can't understand.  But I also can't see the people behind me in the chain (4 of them) agreeing to a two week notice to complete, at the behest of the developer, so it seems an impossible situation.

I think my only option now is to pull out of the purchase, hope my sales chain is still intact and not as stressed and frustrated as I am, and look for a rental. I so don't want to rent, but looks like I'll have to.

No doubt the developer will keep my reservation fee (£2k), which is really galling, but what can you do. So much money gets wasted in this process, it's not the first time I've been out of pocket this way. Frustrating.

davilown

I think you should just let the developer re-market it, that way if the chain does go through then you can jump back in.  What's the likelihood of it being resold again? They are just trying to pressurise you, but have no influence on the rest of the chain. 

Joyful

I too was in this postition, due to Covid, all my prospective buyers pulled out.  When I got a supposedly quick buyer, I kept on weekly at my solicitors. Finally after 6 weeks we agreed on the Friday. My solicitor then advised they had not told me, as I was stressed enough, that the builders had given me until the Monday to complete. They had been pushing the other solicitors for the last 4 days! Now I'm having to go into another property for 9 days on Wednesday as due to Covid my house is not ready due to no vanity units. Builders had been very good until then. They kept extending the deadline by 2 weeks at a time. After 27 years in this house, this move will be my last.