Buying a new build house from a large developer rant

[CraigN]

I am very annoyed and dissapointed as is the wife.

Been to look at a nice new house built by one of the big house builders. Its 3 bed semi large garden within the M25 not in a bad area for what we think is cheap.

Brilliant we thought been around 3 times decided we want it.

Tried to reserve it only to be told no because i cannot exchange within 28 days. I am told this is standard practice for new homes.

Then they try to tell me to use the part ex scheme they do where i will loose around £15k from the value of my existing home. But they will buy it within this 28 day period.

This seems absurd never have I been able to buy a house within 4 weeks when not a cash buyer. Seems to me like they don't want to sell to anyone with a chain.

I have tenants in my property at present whom i have served notice but it is two months but due to its location and desirability i have very little doubt i will have trouble selling it.

I know if they don't want to sell it to me they don't have to but this seems silly how can they expect people in a chain to commit to this 28 day or loose your reservation fee.

Anyone had any experience of this or how i can proceed? I have already spoken to someone else and asked to speak to someone more senior.

Its quite upsetting after sorting out the mortgage and all the other bits and bobs to be hit with this.

 

[Maccapacca]

So you haven't sold your property, put it on the market and you still have tenants and you want the housebuilder to just wait around whilst you sort all that out?

 

[BDEE]

It amazes me that you are baffled by this.

Why would they want stock sat about for potentially months on end? The housing market is poor, you may think you will have no trouble selling your house, but the reality is it could take a year, maybe longer.

You need to have sold your house first before you can go making offers on things if the purchase is dependant on your sale. How would you feel waiting for an indefinate period of time for someone to buy something from you because they hadn't sold something of theirs?

 

[Shelster]

I had a similar situation and this was back in 2000.

My then soon to be wife (now ex) and I looked at and bought a house that was still 'on-plot' when we did. The only way we could get it was that we had to complete on the sale of her house within 28 days.........which was 3 months ahead of the date the date the house would actually be ready.

Spent those months living in her mothers very cramped house and all our stuff in storage (including the freezer that I may have forgotten to check before putting it in which may have contained a pack of fish fingers and some liver too.....)

Is a right royal PITA, but they have been doing it for ages and will keep on doing it. It aids their cash flow and also means they realise the profits earlier on and can then re-invest that money back (or buy shiny cars and holidays for the directors)

 

[a1ex2001]

Standard practice and you can't really argue with it really.

 

[Maccapacca]

I think I'd be looking at the p/x what was the valuation based on?where do you think the £15k comes from? is that off asking price? sales atm are 7-8% under asking price.

 

[PaulStat]

New builds mostly seem to have small rooms with low ceilings and paper thin walls, and also seem relatively expensive.

 

[Maccapacca]

New builds mostly seem to have small rooms with low ceilings and paper thin walls, and also seem relatively expensive.

yawn thanks for the generic input

 

[londonbairn]

I avoided new builds around here for the above, poorly bhilt walls and often kitchens/bathrooms with no windows etc.

 

[Firestar_3x]

yawn thanks for the generic input

It's true though, most newbuilds designed for the average house buyer have comically small rooms.

 

[GinG]

Standard practise I am afraid.

Also the £15k loss isn't really a loss is it? You have no guarantee the house would sell on the open market for asking price.

If you love the house that much see it as a home and not an investment, is £15k really worth the upset, hassle & dissapointment?

 

[CraigN]

The notice on my tenants is served on the 5th of this month they have just over a month left.

the house is for sale and i have had offers which i have currently rejected. They have told me roughly how much i would get for part ex based upon my valuation which i think is around £15k lower than i would get for a private sale. Offers i have had have been over this part ex value. The current offers are close to what i will accept.

 

[4T5]

yawn thanks for the generic input

Have you seen a new build being built ?
I have, They are wooden framed, lined with a bin liner & then breeze blocked, On top of that all the wood is MDF & all the fittings are the cheapest money can buy.
I know this as I did some Property maintenance for a mates company & had to replace fittings & redecorate. Whenever we replaced any fixture or fittings we had to get an exact match & to get that match we bought the cheapest fixtures & fittings from the local DIY.
One time I went upstairs in a house that wasn't quite finished & without the skirting boards on up in the main bedroom you could see the grass in the garden downstairs between the huge gaps between wall & floor.
New build houses are the biggest scam going & I know this is still going on as they are building houses opposite me in the same **** way.
I am sure that people who have spent 300k+ on a house cannot believe this but it's true.
Houses I worked on are just outside Chelmsford & are considered Prestige.

So forget the lack of storage space & the small size of the rooms & concentrate on the rubbish way they are built & the crap materials they use.

On top of all this you get a 2year guarantee where you can ring up complain & get a Property maintenance dude round to sort your issues out. Only trouble is the builders drag it out & then send a Maintenance dude out around the 20 month mark so you only actually get One visit to sort out any issues & then you are ******.
Worst of all when you open the door to the maintenance crew it will be somebody like me & my mate. +

God knows how these companys get away with it.

 

[PaulStat]

yawn thanks for the generic input

meh you're welcome to your generic house

edit: just noticed you're not the OP. Still what did I say that isn't true?

 

[Richie]

Offers i have had have been over this part ex value. The current offers are close to what i will accept.

If we are talking about a 2-5K and you have rejected them AND you feel that you are getting the new house for a bargain then I cannot understand you given the stress it appears to be giving you....

 

[FutileBreadMachine]

We currently live in a 2 bed new build flat, and I am definitely not keen on buying a new build house. New builds are just too small for the money, and everything is as cheap as possible to maximize profits. Our shower pump has broken 4 times in 3 years, the boiler stopped working 3 times, and we had to replace the taps in both bathrooms since they started leaking. The door handles are also rubbish, and we keep having to screw them back in.

It all looks nice when you first see it, since it's new, but when you actually start living there you can see where they've cut corners.

 

[BennyC]

Have you seen a new build being built ?
I have, They are wooden framed, lined with a bin liner & then breeze blocked, On top of that all the wood is MDF & all the fittings are the cheapest money can buy.

Timber framed houses would be yes. Brick built, and then breeze/thermo block aren't. I have seen timber framed houses being built as you describe but this does not instantly mean that all new builds are flimsy and will blow down in the wind.

On top of all this you get a 2year guarantee where you can ring up complain & get a Property maintenance dude round to sort your issues out. Only trouble is the builders drag it out & then send a Maintenance dude out around the 20 month mark so you only actually get One visit to sort out any issues & then you are ******.

Funny that my neighbours and I have had all our snags resolved within a week maximum.

The new build house market isn't as bad as it used to be though that's not to say there aren't bad examples still currently being built.

If you stick with the cheap options then you'll get cheap quality.

 

[4T5]

Timber framed houses may be Ok where they were designed where the climate is a lot drier but over here they will be ****** in 10 years.

I'm also not stupid enough to think that anybody who has paid money for one will agree with me.

 

[Vita]

It amazes me that you are baffled by this.

Why would they want stock sat about for potentially months on end? The housing market is poor, you may think you will have no trouble selling your house, but the reality is it could take a year, maybe longer.

You need to have sold your house first before you can go making offers on things if the purchase is dependant on your sale. How would you feel waiting for an indefinate period of time for someone to buy something from you because they hadn't sold something of theirs?

I have to agree with this. Housing market is hit and miss at the moment. Where I live we've had 3 houses up for sale for nearly over a year now. They are relatively priced and the location is desirable.

Big developers just don't want to wait around.

 

[FISHGUTS]

Timber framed houses may be Ok where they were designed where the climate is a lot drier but over here they will be ****** in 10 years.

I'm also not stupid enough to think that anybody who has paid money for one will agree with me.

I've built both.
I'd go timber frame every time now, the insulation levels are superb.
There's crap specced timber and block builds.
I'd never buy a new build from a large developer, the spec and quality of finish is too poor even on a large size house.