Seller moving to new build, completion on notice

[Delphinee]

We are buying our first house in the UK, we found the perfect one, made an offer below asking price, accepted. Long story short, sellers are moving to a new-build, left the house to a 3rd party (move with us) as part exchange (or assisted sale, I’m getting inconsistent info). My solicitor made me aware that if we won’t get a fixed date, their house could be delayed beyond our mortgage expiry, plus we would be paying for an insurance on a house where they still live in. 3rd party solicitor, said NO to a fixed date, they will only exchange with “notice on completion”, sellers will not move to a rented accommodation. Estate Agent says that sellers are checking the progress and their house should be ready August, early Sep the latest. In the memo of sale I have Sep/Oct but new person from this 3rd party said she had November. I don't even know what the long stop date is. They want us to exchange within 28 days but that would mean we are locked, just waiting for the builder to finish with no indication whatsoever. The house is really nice and essentially it does tick all the boxes for us. Im torn between walking away and just exchanging and hoping for the best. Any thoughts?

We moved house recently by 'trading in' our old house. The thing you have to appreciate is that the deal is for the person to live in the house until the new house is built. Black and white. They have in effect sold the house to the house builder, not you.

The problem arises when the house builder markets the trade in quickly. Ours sold within 24hrs. We actually agreed to show all the people around our old house and we made absolutely certain that every single person knew that the house would not be available until the new house was built.

6mths later we had similar to yourself. The new owners of our old house were getting pretty peeved at having to wait. We were pleasant to them but referred them to the house builder every time they asked for a timescale. YBH the only timescale we could give them if we wanted to was 4 weeks notice of the new house being ready, but it wasnt our place to do so. It was non of our business and tbh we didnt give a hoot if they cancelled their purchase. As far as we were concerned we sold our house to the housebuilder. It isnt our problem.

Hi Tessasanderson, I totally get sellers perspective, they left it as part exchange to the company and it is no longer their problem. We obviously on the other end need to protect ourselves. I am really unsure what to do. We could end up waiting for a long time, having to apply for a new mortgage.

Its very difficult. Totally see your perpective in the neverending wait for your house. It boils down to the housebuilder being a dick. I bet the old owners just want to move into their new home too.

Building industry is full of it. When we did our deal we had about 4months to go before the stamp duty holiday expired. I had them agree that they would be responsible for any stamp duty which considering it was free was a bit out of the norm. Move on 3 months and i pointed out that they would be liable for £3500 in stamp duty if they didnt give me a date in the next 4 weeks. Funnily enough a date came very quickly after that.

I bet £3k was a motivation for the builder to speed up. I keep thinking that they have to move out sooner or later and they do want the new house asap, but indeed, we are at mercy of the builder.

Sounds like you’ve bought our house…if it’s in Reading, PM me.

Hi Twobecomingthreeplusthedog, it is very close to Reading! I’ve just PM’d you.