New build defects advice

BigZGolfer

Hi everyone, looking for some advice on some issues I'm facing with purchasing my new build property.

I am nearing exchange, however on my recent visit/inspection I noticed there are several major issues which need addressing (leaking taps, possible causes of draft/damp on windows and missing fixtures/fittings). Apparently, building control have signed it off and it is ready for completion, although I have to strongly disagree and even my dad with 50 years in the building trade feels the place is unfinished and sub-par for the price.

Raised with both solicitors and developer, neither of which seem particularly bothered. All I have been told is any snags will be addressed post-exchange but I cannot use it as an excuse to not complete - is this normal? Surely by agreeing to this I lose any leverage and means I could end up buying an unfinished and defective property... is this the case with most new builds or is mine just particularly shady?

They also won't let me have a professional snagging survey done prior to exchange which again seems odd to me. Have also tried negotiating the asking price but again they won't budge.

Looking for anyone who has been in a similar position before. Is it a case of run for the hills or can anyone offer any advice or has any ideas as to how I can pull an ace from my sleeve?

MikeJXE

I agree with your dad, I too have 50 years in the building trade 

In my life I have purchased 10 homes inc 2 new build, snagged them myself before exchange and got serious issues rectified before exchange 

No way would I continue with that purchase 

If the builder won’t fixed the issues before you buy you can expect a long wait once you have handed over the money 

Personally I would walk away 

If You have signed anything between you and the builders check out the terms and conditions 

BigZGolfer

MikeJXE said:

I agree with your dad, I too have 50 years in the building trade 

In my life I have purchased 10 homes inc 2 new build, snagged them myself before exchange and got serious issues rectified before exchange 

No way would I continue with that purchase 

If the builder won’t fixed the issues before you buy you can expect a long wait once you have handed over the money 

Personally I would walk away 

If You have signed anything between you and the builders check out the terms and conditions 

Hi MikeJXE, thanks for your reply. Can I ask, was there anything you did or can recommend to get the builders to rectify prior to exchange? Of course I can threaten to pull the plug but any further advice is appreciated!

daveyjp

Is it your solicitor or one 'recommended' by the developer?  If the latter sack them off and employ your own.  If it is one you selected give them instructions no exchange until issues are corrected.

BigZGolfer

daveyjp said:

Is it your solicitor or one 'recommended' by the developer?  If the latter sack them off and employ your own.  If it is one you selected give them instructions no exchange until issues are corrected.

Hi daveyjp, its my own solicitor. Have already told them I won't be exchanging until issues are rectified but its the developer who is pushing back on this saying "we don't address snags until post exchange". I wouldn't have an issue with this if it was minor stuff but leaks and potential sources of damps are not minor (at least to me!). Also wouldn't have an issue if it was a legal mandate to do before completion but have been told it isn't and I cannot delay completion because of it. All a bit daft!

MikeJXE

Not really 

Probably a different generation 

I viewed a few times during the construction stages and they tended to fix issues I brought up. 

Buying a home is the biggest investment of your life and it needs to be right, I see the horror stories people have with new builds. 

Maybe what seems odd to you is covered by anything you signed from the builders perspective, does he have some kind of hold over you ? 

I know my granddaughter had to sign an agreement before it was even started being built but because I knew the builder or rather his dad I advised she was safe 

My granddaughter bought a new build 3 years ago (Davidson Homes) and I used to sneak in when it was being built, no snags and no issues to date 

I think it depends a lot on the builder reputation, 

mebu60

daveyjp said:

Is it your solicitor or one 'recommended' by the developer?  If the latter sack them off and employ your own.  If it is one you selected give them instructions no exchange until issues are corrected.

This. (10 chars)

Albermarle

You have choices, which all come with downsides.

1) Go ahead and exchange, and hope that at least some of the issues get sorted eventually. ( although they might not)
2) Pull out, and you will lose everything spent so far . Often new houses have a reservation fee as well as the normal costs.
3) Threaten to pull out unless at least all the more major issues are sorted out. Then hold your breath as it could go either way. If the developer pulls the plug, then they will have to remarket it and probably have to do the repairs before doing that anyway, so hopefully they will see sense.

I think when buying from a developer and dealing with their solicitors, they are going to play more hard ball than most normal vendors. So you either rollover/pull out/play hard ball back. 

BigZGolfer

MikeJXE said:

Not really 

Probably a different generation 

I viewed a few times during the construction stages and they tended to fix issues I brought up. 

Buying a home is the biggest investment of your life and it needs to be right, I see the horror stories people have with new builds. 

Maybe what seems odd to you is covered by anything you signed from the builders perspective, does he have some kind of hold over you ? 

I know my granddaughter had to sign an agreement before it was even started being built but because I knew the builder or rather his dad I advised she was safe 

My granddaughter bought a new build 3 years ago (Davidson Homes) and I used to sneak in when it was being built, no snags and no issues to date 

I think it depends a lot on the builder reputation, 

So thankfully i'm not buying off-plan (at least the development is supposed to be finished...). Only thing I signed was to reserve the property and take off the market, nothing in there about this kind of stuff. Builder is a small, local developer which I initially thought would be better than your nationwide guys such as TW / Barratt but the reviews online are poor. Didn't think too much of it at the time since its usually a case of people only reviewing when they've got something bad to say (classic negativity bias) though now I'm starting to wish I'd listened lol

BigZGolfer

Albermarle said:

You have choices, which all come with downsides.

1) Go ahead and exchange, and hope that at least some of the issues get sorted eventually. ( although they might not)
2) Pull out, and you will lose everything spent so far . Often new houses have a reservation fee as well as the normal costs.
3) Threaten to pull out unless at least all the more major issues are sorted out. Then hold your breath as it could go either way. If the developer pulls the plug, then they will have to remarket it and probably have to do the repairs before doing that anyway, so hopefully they will see sense.

I think when buying from a developer and dealing with their solicitors, they are going to play more hard ball than most normal vendors. So you either rollover/pull out/play hard ball back. 

Thanks, option 1 wouldn't be too bad if they were small snags, or if we could make it a legal mandate to hold off on completion until fixed but have been told we can't. Therefore option 3 seems like the way to go, only concern is I know other properties in the development have sold so I don't think the developer would have a hard time flogging it, I know that most sales thus far have been your average FTB schmuck who either doesn't really know what they're doing or is willing to look past it because of a crippling desperation to get on the property ladder.

MikeJXE

Who  is the developer 

Have you done research on them ?