exchange of contracts new build

[hatebeingstressedout]

Just a quick question about new build conveyancing .
i understand about 10% deposit need to be ready to be handed to developer solicitor but i am getting little less mortgage than originally we thought we can get via AIP . But the funds i need for deposit can be saved very easily until new build complete which is next year.

My question is that do we need to show all deposit now to builders solicitors including stamp duty , legal fees before exchange of contracts. i got 10 percent ready to go.

i have also got another property which i have put on sale to find a buyer so that developer wont pull out . i have a got a month to sort it out before reservation period expire. Reservation was done on the basis that i got nothing to sell.

i will ask my solicitor on Monday but I am really stressed out . on top of it i told developer now i am worried they will pull out.
Can they do it ?

anyone ??

You pay the deposit when you exchange contracts. The builder's solicitors won't care whether you have the money before that. As long as you can pay the deposit when you exchange you will be fine.

You pay your solicitors fees and stamp duty when you complete the purchase. That doesn't involve the builder at all. The builder's solicitors won't be concerned about that.

Your problem is that you appear to have lied to the builder by telling them that you don't have a property to sell. If you are unable to exchange and stump up the deposit before the end of the reservation period, you may lose the house or find that the price has gone up.

@prh47bridge

You pay the deposit when you exchange contracts. The builder's solicitors won't care whether you have the money before that. As long as you can pay the deposit when you exchange you will be fine.

You pay your solicitors fees and stamp duty when you complete the purchase. That doesn't involve the builder at all. The builder's solicitors won't be concerned about that.

Your problem is that you appear to have lied to the builder by telling them that you don't have a property to sell. If you are unable to exchange and stump up the deposit before the end of the reservation period, you may lose the house or find that the price has gone up.

. i have not lied but now mortgage is coming bit short . If i dont have to show full deposit now then i dont even have to sell property. i was selling it as i thought they might want to see it straightaway.

you have cleared lots of confusion. i have already sold my residential and this is the another property.
the amount which is short like i said i can save until property gets ready.

You only need the 10% to exchange. Don’t tell the developer everything, there’s no need to!

@MintMatchmaker

You only need the 10% to exchange. Don’t tell the developer everything, there’s no need to!

fab i got that ready.lesson learnt