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Buying new build leasehold flat

Scott_T_2
Scott_T_2 Posts: 4 Newbie
Part of the Furniture First Post Combo Breaker
in House buying, renting & selling
I’m looking at purchasing a new build flat in the next 6 months. One developer gave me a timeline of build completion for ‘spring/summer 2023’. Now I’m confused, I have to get an agreement in principle or mortgage offer 12 months in advance of moving in? What if my circumstances change or interest rates shoot up and the mortgage rate changes in the 12 months? Do i lose my deposit, or just the reservation fee?

Comments

  • user1977
    user1977 Posts: 18,016 Forumite
    10,000 Posts Seventh Anniversary Photogenic Name Dropper
    If you fail to complete then you lose your deposit (and possibly more). Welcome to the joy of buying off-plan!
  • TripleH
    TripleH Posts: 3,188 Forumite
    Sixth Anniversary 1,000 Posts Name Dropper
    Plus you have the delight of being pushed to exchange ASAP whilst the developer may exceed their provided deadline.
    May you find your sister soon Helli.
    Sleep well.
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