Selling home on part exchange?

[immortalmarble]

Has anybody done this, and what are the pros and cons?

I am considering moving but the potential sheer hassle of selling puts me off!

Buying a new build ?

Obvious advantage, like you say is cutting all the hassle, of trying to sell.

Disadvantage is it will cost you in financial terms - you won't be able to negotiate prices, as they know you really want to do it. You won't be able to negotiate any discount on price. New builds carry a premium. If you are going to live there for years and years, then it won't matter, but if you want to sell in 3 - 5 years you'll probably find you are disappointed with the price compared with what you paid.
Buying a home that hasn't been built yet / is part of an on-going building site is quite difficult to 'see' how it will end up looking. In recent years, there have been quite a lot of housing built around where I live, and, though the houses themselves are lovely, the parking is appalling.

All that in, if you can afford it, the idea of bypassing all that prepping your house for selling then waiting for a buyer and all the tension of maybe that sale going through or not etc etc etc is very appealing.

Thank you! The main issue is that the property I want to sell has tenants in it and I don’t want them to move out and potentially lose a lot of money waiting for it to sell.

I don’t currently have a mortgage - would need to sort that. Do I need to do that myself?

Well I would.
You will get a far better dealer by looking around and getting a mortgage broker to find the best mortgage for you, than by just going to your local High Street Banks and asking them for a mortgage.

I'd check if the developer is willing to do a part/ex on a property with tenants in as it would change the dynamic - what if they don't move out etc etc. What is tenancy situation and how long till new build property is likely to be ready - can you confirm you'll have vacant possession at least two months before new build is finished?

There was a thread about part exchange on here somewhere recently.
The catch seemed to be the builders wanted people to use their mortgage and conveyancing people.
I would enquire about PE and see what they say. I'd also get independent valuations to compare.

I had the p/ex option with the new build house I bought. The way it worked for us

• Developer had our house valued (think it was more than one valuer but can't recall)
• Developer then made us an offer on our house for £x (we negotiated fittings in new build separately)
• We then put our house on the market with estate agent of our choosing and at our preferred valuation
• if we had an offer we accepted we could use that rather than the developer "backstop" *if no offer by x date or we weren't happy we reverted to the developer offer.

For us, it meant we could proceed with attempting sale of our house knowing that we had a get out clause if it wasn't selling. As it turned out we sold ours on open market for value above the developer backstop and despite wobble in the chain we knew if we absolutely had to we could break the chain to move into our new house. We didn't want to do that but were clear with our buyers that this was a potential outcome (not that our buyers were the issue but their buyer was)

So for us, it worked out well...