Negotiating with Builders what should I do now !!!

Treadmill

1/3 land 1/3 build 1/3 profit.

Thats how it normally goes isn't it ?

adr0ck

Treadmill wrote: »

1/3 land 1/3 build 1/3 profit.

Thats how it normally goes isn't it ?

kinda treadmill

if u count legal fees, estate agent fees, loan fees as profit then yes

broadly its correct

what i want to know is how as squatnow says you can build a 4 bed semi for £40,000 as he claims

this is serious money saving squatnow is promoting and i think it would be great for him to share it with us

so i ask again please provide a breakdown

bulldog14

Just thought I'd give an update on the situation for those that are interested: Although theres not much to report!!...we haven't heard from the builders at all for 2 weeks! The last call we had was when they offered us the stamp duty included!!
Basically now the incentives are coming to approx 4k (according to them), I'm considering them meeting them half way and increasing the offer by 2k, but in the other hand i think why should I in this market!

I really don't think theycan be desperate for our business else they would of at least called to check on our situation!!

Lakey

The only worry I would have bulldog, is that your house will be only one of several that is inhabited. What if the other houses don't sell for a long time and empty neglected houses spell trouble. Maybe I've got the wrong end of the stick if so i apologise

SquatNow

adr0ck wrote: »

what i want to know is how as squatnow says you can build a 4 bed semi for £40,000 as he claims

this is serious money saving squatnow is promoting and i think it would be great for him to share it with us

so i ask again please provide a breakdown

It's not possible if you are building 1 house.

When you're building 20.... or 100 houses then economies of scale cut in.

People think it's expensive because they compare to the costs they've experienced... re-wriring a house can cost several thousand pounds, as can a new heating system etc. The catch is that's because they are working around the existing fitting.

Wiring an empty house should take a decent electrician half a day... no plaster to strip, carpets to pull up, furniture to shift etc. Likewise with the plumbing.

Building a house:

• Bring in services (Gas/Water/Drains/Electric)
• Dig foundations
• Set Foundations
• Ground floor walls
• Beams for first floor
• First floor walls
• First floor floorboards
• Roof
• Plumbing 1st Fit (Pipes)
• Electrictrician 1st Fit (Cables)
• Plastering
• Windows
• Kitchen Fitters
• Plumbing 2nd Fit (Bathroom/Kitchen)
• Electriction 2nd Fit (Actual fittings)
• Decorators
• Drive & Garden
• To Let Sign
• For Sale At Auction Sign

The only ones of those that take more than a day per house is the bricklaying. (And waiting for the foundations to set) Anyone who's lived opposite a new housing development will testify to how fast they spring up.

Everything is far easier if you don't have to work around an existing house.

Most new houses (at the peak) 60% land, 20% build, 20% profit. Depending on how late in the land cycle the purchased the land. That's why the governments £60k houses ended up selling for £160k.

adr0ck

wheres the breakdown?

sorry to say squatnow ........your post kinda tells me you don't know much about building

adr0ck

though i did find the to let sign and for sale by auction sign a bit funny :beer:

lets start with services

gas £750 + £200 labour
water £800 + £200 labour
electric £1000 + £200 labour
bt £200 labour
foul say £1000
surface say £1000
road say £5000
streetlights say £500
section 38 & 104 say £250

say £11,000

lets call it £10,000

adr0ck

SquatNow wrote: »

Most new houses (at the peak) 60% land, 20% build, 20% profit. Depending on how late in the land cycle the purchased the land. That's why the governments £60k houses ended up selling for £160k.

the governments £60k houses cost £60k to build just the house, without the road etc.

bulldog14

Well I've decided to give up on Miller Homes now!! They obviously don't want to sell us a house else they wouldn't be so awkward!!

I've just seen another new build on a different site. The house is lovely and is just what we've been looking for, however it is on at 229900!!! Our is 190000! The sales negotator said that something could be done as it is a stop plot and the other houses near by are all sold!

Well we've just got the call with the price and they can reduce it by a whole 10k!! Down to 219000!! Are they having a laugh or what??? They know what our budget is, why show us the house if they can only knock 10k off!

We are gutted, any advice on what we should do now???
Please help!!!!!

WTF?_2

bulld!!!4 wrote: »

Well I've decided to give up on Miller Homes now!! They obviously don't want to sell us a house else they wouldn't be so awkward!!

I've just seen another new build on a different site. The house is lovely and is just what we've been looking for, however it is on at 229900!!! Our is 190000! The sales negotator said that something could be done as it is a stop plot and the other houses near by are all sold!

Well we've just got the call with the price and they can reduce it by a whole 10k!! Down to 219000!! Are they having a laugh or what??? They know what our budget is, why show us the house if they can only knock 10k off!

We are gutted, any advice on what we should do now???
Please help!!!!!

Is there some pressing reason why you need to buy a house right now this minute?

If not, just keep waiting for a property with right combination of features and price becomes available. There are lots of houses out there, more being built all the time and the market is starting to fall steeply.


Personally, I'd wait at least another 18 months before buying.