To start to get tough (house buying)

[Pepperwand]

Sorry if this isn't the right place but posting for traffic.

We're currently in the process of buying a new build house and selling our current home. The house builder has put a 28 day exchange deadline on us which I understand is standard and I'm also 29 weeks pregnant so very keen to keep the momentum up. We're ready to exchange on our purchase but need our buyer to be ready so we can exchange on the same day.

Our buyer is currently in rented so we're in a short chain but I spoke to the estate agent today and apparently she only instructed a solicitor two weeks ago so they haven't even started the searches (it's been about 6 weeks since we accepted her offer). She has however had a survey done on our house and due to some minor points that have come back wants to drop the price by £2k. Honestly at this point we just don't want the sale falling through and are worried about the exchange deadline being just over 3 weeks away so would you agree to the price drop but on the provision we exchange in the next three weeks?

Sorry if this is rambling, it's our first time selling a property and buying a new one. Im hoping the exchange deadline given by our house builder could be flexible but I'm wondering if it's time to start hassling and sending some stern emails? I just hate the stress of not knowing whether it's all going to go through or not when we've already paid out money!

You can request it, but it’s out of her hands somewhat as well (although obviously submitting documents on time and pestering the solicitors may help); so you could accept the reduction but not meet your timeline. I doubt £2k is going to be a dealbreaker for them, but if it isn’t for you either might be better to accept to prevent any further hold ups. We put an offer on a house in early pregnancy and completed at 40 weeks (no chain) so I feel your stress!

What are the points that have arisen as a result of the survey and do you think they would cost the potential purchaser 2K to put right?

The email you suggested sounds reasonable.

New builds are fine, depending on the developer. Get a shoddy one and you’ll get a shoddy build. Get a decent one and you’ll get a decent house. Ours has large rooms, good sized garden, garage and parking spaces etc. How many threads on here are about parking on streets where there are no spaces- Victorian terraces. Or massive renovations needed, or living with someone’s vile decor.

I'm not sure if three weeks is realistic although our solicitor is really on it

Thing is, it's her solicitor who's organising the searches, and she's probably instructed him too late for your 3 week deadline

No doubt the builders will extend the deadline if they know you're still serious, but I wouldn't give your buyer a discount at this stage ... she'll no doubt expect to keep it and stretch the process out yet further

If she's as flaky as she sounds and intends to drop out, you might as well find out about it now

We dropped the price after survey due to unforeseen structural issue, however it delayed things a bit as it has to be approved by the mortgage company as the LTV changed ever so slightly. So just be aware agreeing may delay things further.

Also we got a house purchase through in 4 weeks with no chain and both using solicitors next door to each other. Everyone was amazed how fast it went so I do think 3 weeks is unrealistic unfortunately. Maybe ask for a delay? The market is drying up and I M seeing lots of incentives being offered on new builds here, so the builder should be keen to keep you!

Thanks all, the issue is there is a crack in one side of our garden wall and the surveyor has apparently suggested that it is rebuilt, although she won't let us see the report which makes me a bit . I don't think it would cost that much to put right but at the same time it's a small enough amount to not be a deal breaker for us. I think I'll send the email today and also speak to the builder just giving them an update and hope it's sorted quickly, even if not by the deadline they've set. Grr I hate house buying/selling!

OP I'd drop the price and meet in the middle so drop it 1k or 1.2k etc. If she refuses to accept you can always drop it again

3 weeks does sound tight though. I'd check what the notice is on her rental property and who her solicitors and estate agents are. I have found the only way to keep on top of things is to phone and chase yourself. On everything. All the time. Otherwise it's easy for each party to sit on things and blame the others. Good luck

do not buy a new build
Oh do fuck off, we have a lovely new build. Minimal snagging (indeed much less than our last old build where we uncovered problems everywhere as the previous owner had covered and painted over them)
Large rooms that actually make sense, large garden and very energy efficient.
Such snobbery around new builds, honestly!

We bought the showhome so it was the last plot to go, we agreed sale of ours and purchase of the new build at end of March, builders were pushing for end of April, we exchanged end of June and completed 2 weeks later. Depending on the stage they are at and how fast people are buying they will likely wait, and if not there are other new builds.

I’m in my second new build and love it. Big rooms, nice garden, plenty of storage and acwarrantly for 2 years with builder. Just got some plastering done and a small roofing issue sorted free of charge. Also have a nice drive so off street parking.

You can say what you like, and I agree that being really clear about your expectations is a good thing. The trouble is that, if 3 weeks comes around and you haven't exchanged, what then? You don't want to pull out at that stage. I think your posts reflect the uncertainty in the system prior to exchange, and you are right, it is a stressful time when you are not in control of what happens. I sympathise with what you'd like to happen, and why, but ultimately the threat is toothless.

I have a new build and it isn't shoddy .. it's beautifully made and in exactly the same condition as when we bought it 5 years ago and has lovely fittings and fixtures etc .. came with smeg appliances which are all perfect !
not all developers are the same , please don't tar my house with a bad reputation when you are believing the media reports on some developers .
To the OP It's actually quite difficult to buy a new build but if your plot isn't that desirable they will probably extend the deadline .. I had a bidding war on mine so had to be able to move quickly 😬

If your new build is being done my Persimmon....RUN! Don't bother!

@jamielyn my new build is Persimmon and is fine.

You're in a tricky situation OP as your buyer sounds either clueless or not fully committed (or possibly both). Which puts your chain at risk regardless of exhanging within 3 weeks or not.

Before agreeing to a price reduction, I would want confirmation via her solicitor that she's either given notice on her rental property or when she will do that. Just to see if she's serious or not. I'd also do what has been suggested earlier and offer to reduce the price by £1k and meet her in the middle. If you end up dropping the full £2k, say it is conditional on exchanging by x date. After that date, the price goes back up to it's original agreement. And get her solicitor to confirm they've started the searches!

I'd also suggest having a chat with your builders (if you think they'll be honest) as they may have a reasonable idea of how long searches take in that area. Start the conversation with them now about what happens if you miss the 3 week deadline.

I think you've been a little naive/ambitious expecting to exchange on your existing property and your new property within such a short time frame. It is doable but you need to be all over everyone involved on a regular basis when you have a timeframe like this. No sitting back and expecting people to pull their weight. Chase chase and keep chasing.

I bought a new property and from reservation to completion, I had 28 days and if successful, they paid my legal fees. So there was financial motivation for me to hit the date. it was very stressful and I was on the phone pushing my solicitor right down to the wire. I wouldn't have taken on a 28 day deadline if another party (i.e. your buyer) was involved.

We pulled out of a new build purchase last autumn. We are FTBs rent and in our 40s with a very large deposit - so we were gold dust to any seller. My concern with the new build was the Help to Buy scheme. If your new build is decent enough no worries but do not take out a HTB grant unless you know you can pay it back within five years. Also some new builds including a maintenance charge for communal areas, which we were not happy about. Now buying a similar property that is much larger and ex council. However the developer should be able to extend the deadline surely?

I think £2k is neither here nor there in the grand scheme of housing costs - it's such a small percentage of the value it's not worth haggling over. It seems increasingly standard that people expect a reduction on the basis of the survey, unfortunately.

However, I am far more concerned about the way your buyer is dragging their feet over getting organised. Is there any way you can put a condition on the price reduction, e.g. "We are willing to reduce by £2k, but only if the sale is completed by "?

I'd offer to meet half way and still make it on condition of the timescale.

apparently she only instructed a solicitor two weeks ago so they haven't even started the searches

Honestly would take this with a pinch of salt, in my (very limited) experience of home buying I was constantly told by our estate agents and solicitors that it was the sellers taking an age to do anything and we were getting increasingly frustrated. We eventually arranged a second viewing one evening when the agents weren't available and had a nice long chat with the sellers. It turned out they were as fed up as us and the hold up wasn't them, both of our solicitors had actually not done anything at all and just passed the blame to us. We exchanged numbers and dealt with everything we could directly which sped things up significantly. Obviously this is not always wise and I'm not suggesting it as a solution, just saying that it isn't necessarily the buyer causing delays even if the agents say it is.

If the solicitors are good and they get on with things then yes, you would be fine to offer the reduction in return for a fast exchange but if you don't know the solicitors or know them to be slow then I wouldn't count on it. By the time 3 weeks rolls around though, if you're significantly closer to exchange then I can't see your builder backing out and starting the process again. If they do then there's nothing to stop you putting in another offer to demonstrate their stupidity

It took us three months to exchange on our new build. And they set the timeline at 28 days. As long as you keep them in the loop it's fine.

Talk to the developer about any flexibility on the timeline - they will have seen this happen many times. The main issue is likely to be whether or not they have any cash buyers on a waiting list.

Wouldn't it be nice if MN could delete all the comments that are just focusing on the new build factor.

We bought an empty house, OP, seller had rented it out for years but decided to sell. We had nothing to sell as we were living above DH's work premises. So it was a straight forwards sale. Still took nearly 5 months and that was with me harassing the solicitors both ways on a daily basis towards the end. It was so stressful we can't face ever moving again!!

I suggest that you talk to the builder and be honest. They are not your enemy. Quite often on new builds, although you usually have to exchange within 28 days, they are more flexible about completion and this can be much longer than with a normal sale.

I sold new house ps for a living and I suggest that you give the builder details of all the Estate Agents in the chain. The builder I worked for had an office team who were expert in contacting EAs and solicitors.

we bought a new build and actually got assistance from them to put the pressure on our buyer and their solicitor to quick fluffing about and get completed... their solicotors were arses though and were the ones holding up the completion. We went over the new build deadline by a couple of weeks, but they were ok with it as they were invp;ved in getting it through to completion.

Speak to them and see if they can contact the solicitors on your behalf to bring it to completion

you need to be more proactive and not wait for things to happen. You need to chase on both sides and push for things to happen.

It's too late now, but you shouldn't have allowed the buyer to waste 4 weeks for instructing solicitors! 3 weeks is possible, but there need to be a sense of urgency in the chain. If you pay an estate agent, they are the ones who should be involved, but realistically they never are.

I'd be going with "£1.5k drop if we exchange by [date]. If not, the price goes back up." And let her hare onto her solicitor.