New Build / Selling House dilemma

DE_612183

Morning, my daughter is selling her existing house and wants to buy a new build.

The NB won't be ready till March.

her buyer is saying he can't wait that long so she is looking at 2nd hand market.

Buyer has said he'll give her 4 weeks to find a property.

She is reluctant to tell him where to go as she can't secure the NB without having a buyer.

The ideal scenario is that the buyer waits a month - then realises that even if they then pull out and find a new property it's likely to take 4 months which would then take them to February anyway - a mere month from the date of the new build being ready.

The options are really:

1. Try and get a new buyer and hope the NB doesn't go in the meantime.
2. Wait a month and hope the buyer changes their mind and the NB is still available.
3. Be up front with the buyer and say this is the only house they want and if they can't wait till March then it's best to stop the sale now.

Her house is nice and it's actually sold a couple of times but she's been unable to find somewhere she likes.

There are a couple of 2nd hand houses she could go to - but they both have some drawbacks compared to where she is now and where she wants to get to.

As an aside she's downsizing so doesn't really want to move and move again unless it's to be mortgage free.

Staying where she is, is not an option due to the mortgage size.

Any suggestions / advice?

swingaloo

Personally I would be fair to the buyer and not mess them about. I wouldn't want to be buying from someone waiting for a new build.

 My nephew bought a new build last year and was promised it would be ready for January, which later changed to March which later changed to April. It was finally ready in August!

Could she not find a way to let the buyer complete perhaps by putting her things into storage and moving in with yourself or a friend? It would cost but so will paying her large mortgage for extra months.

LightFlare

I’d be looking at a rental for the min 6 months 

Was the buyer aware of this expected timescale when he offered and she accepted ?

I would be wary of messing them around - they might just call her bluff

user1977

She sells first and finds somewhere else to stay while she waits for the newbuild. It's pretty hopeless trying to drag a chain along with you just because you're buying a shiny new house with a vague completion date.

Tabieth

I’d also recommend selling and renting. From what I know about new builds, delays are extremely common. The buyer may well pull out if they’re messed around which could jeopardise everything. 

penners324

Conveyancing could take 6 months....

Moving into a short term rental is a possibility 

DE_612183

Thanks for the advice - sorry I should have added - renting / Air BnB is not an option.

Tabieth

DE_612183 said:

Thanks for the advice - sorry I should have added - renting / Air BnB is not an option.

Then it’s a real balancing act. It’s very common for new builds to be delayed so there’s no guarantee it will be finished on schedule. Anyone buying the house will likely want to move quickly. They’ll probably get fed up with delays and may assume the seller isn’t serious.  

The best case scenario is either the buyer is supremely relaxed about delays or, by sheer coincidence, the new build is ready at exactly the same time the chain falls into place. Neither is that likely and I wouldn’t be expecting these outcomes.  

The worst case scenario is the buyer gets fed up with delays and pulls out. Depending on the timing this could result in not being able to purchase the new build. 

By far the best option is renting / air BnB / storage for a short period. It’s disruptive and an added expense but is far more certain than just hoping the timings all work. 

user1977

DE_612183 said:

Thanks for the advice - sorry I should have added - renting / Air BnB is not an option.

Then buying a newbuild seems a daft choice.

MEM62

DE_612183 said:

Thanks for the advice - sorry I should have added - renting / Air BnB is not an option.

Why not?  It seems to be a reasonable solution to your problem.  

swingaloo

It seems that she will have to compromise on what is an option and what is not. 

From reading your opening posts it seems that she is not bothered about inconveniencing the buyer or being fair with him as in 'Tell him where to go' and 'string him along till February which is a mere month away then hope its too late for him to pull out'.

So she is willing to string him along until hopefully its too late for him to back out? What about his life and the lives of those who may be in the chain behind him

It's highly unlikely that the new build will be ready when they say it will, has she thought that the builders may be doing exactly the same thing to her and using delaying tactics.

Its fine saying every suggestion is 'Not an option'  but something has to give.  Selling a house needs co-operation and fairness from all those involved, she cant be expecting the rest of the chain to be happy to wait for her convenient moment.

The bottom line is that she has no confirmed date for the new build to be ready.