Deposit unlock scheme and new build incentives

mallen

Hi all, 
I am looking to purchase a new build home which has been reduced to £260k. It is due for completion end of august and at roof stage. The builder had offered £5000 off the price and £10000 incentives which I was happy with. 

I have since told them I would like to use the deposit unlock scheme and pay a 5% deposit. Because of this they are now saying the most the my can offer is £8500 incentive and no money off the price. They are saying the need to pay £6500 towards the deposit so that makes up the £15000. 

Any ideas how I should play this out as I do like the property and I am sold to a first time buyer so no chain and can move for the august date. Should I ask for more incentive, money towards legal fees or stamp duty also or am I getting a good deal already? 

Not to mention the 5yr interest rate on a 5% deposit I would be getting is 5.67% at £1400pm. A 2 year is at 6.5% and over £1500. What a time it is to be buying a house. 

eddddy

mallen said:

Any ideas how I should play this out as I do like the property and I am sold to a first time buyer so no chain and can move for the august date. Should I ask for more incentive, money towards legal fees or stamp duty also or am I getting a good deal already? 

It's not really possible for anyone here to guess whether you can negotiate a better deal with the developer. Nobody here can read the developer's mind, or have access to their business information, etc.

But there's nothing to stop you trying to negotiate a better deal. I guess the main risk for you is that another buyer comes along while you are negotiating and is prepared to pay more than you are and/or accept fewer incentives.  So the builder goes with them.

But conversely, if the market seems very quiet and they are getting no interest from other buyers, they might be more open to giving you a better deal.