Can you help me negotiate on a new build?

[lemonmeringueno3]

I'm feeling a bit deflated because I've spent the past year building up to making an offer on a new build home in my town but, after an appointment with them yesterday, I don't think it's going to happen.

XH and I separated last year and I stayed in the house until it was sold. Throughout this, I had my eye on a David Wilson development and a style costing £460k.

I sold my house and moved in with family to make myself a good prospect, have £400k cash, a solicitor lined up, a secure public sector job and a mortgage in principle.

They haven't sold anything at all since October and the plot I like went on in August.

Over the past year, with prices in our area falling or stagnating, they increased the price to £500k but offered a 'deposit contribution' of £40k. So really, no discount or incentives at all.

I went along yesterday and was told that there is no flexibility at all - £460k is it.

On principle I'm not paying it and will keep looking elsewhere. I don't want to overpay in this market. But before I give up completely, have I done something wrong or missed something? I've bought new in the past and put in an offer that was accepted after negotiation. The salesperson just didn't do any selling at all it was like they didn't care if it got sold.

Has anyone successfully negotiated or can tell me how to do it? I know it sounds pathetic but xh always did that sort of thing and I must say was taken more seriously than I was yesterday.

"As you are living with family sit tight you are in a very good position."

Yes I'm lucky and can wait a bit.

OP. Stop comparing yourself to your ex. YOU are a successful strong intelligent independent woman. You don’t have to live your new life mentally berating yourself for doing things differently. There is no shame in being a nice person.

You like the house and can afford the house and were expecting to pay 460.

Buy the house at 460. Move in and live your new happy life. I bought a new build when my marriage ended and I felt like the sales person was dismissive of me / didn’t respect me. But it doesn’t matter as I have nothing to do with her and love living where I do. Think about what you want in the long term and don’t stress about the principles/emotional side of buying.

Since becoming single I have been less of a hard nosed negotiator than I was in a couple. But I have also got out of debt, started saving, been on holidays, supported kids with expensive things, and got a brilliant new job. All just by being genuinely myself. Nice women don’t always finish last, I promise.

Good luck.

Last time the market was in this position one particular developer started offering a free new city car. I don't think we are there yet but who knows how this year will pan out for them.
I see the Canadians have already started this game but we a well behind them on the curve.
https://www.thestar.com/news/gta/a-new-car-free-cash-developers-look-to-lure-nervous-gta-home-buyers/article_18e63957-c0e9-51ef-8561-cc10504a3443.html

I used to work (indirectly) in this field.

As per PP look at when their quarter end is - and tell them you will exchange contracts by quarter end.

Also (again as PP have said), they're unlikely to reduce the price as it has implications. So look for things that they can do at a relatively cheap cost to them but if value to you eg flooring, turf, a gate or extra fencing, under stairs cupboard, fitted wardrobes etc - stuff that their tradespeople could do very easily but would cost you to get someone in. Also stamp duty doesn't affect their price so they might flex on that.

I'd go above the salesperson's head and email her supervisor or even more senior. Explain that you are an ideal buyer, no chain and ready to move in quickly. Also say that she was dismissive of helping you to find the right property and didn't show you any others that you can afford.

The developers won't want to lose you and I'm sure that a more senior person in the organisation will be horrified that she let a good buyer walk away.

When I bought a new build nine years ago, once they found that I was able to move right away I magically got my stamp duty and legal fees paid and a fully landscaped garden.

I've just downsized and got my house for less than £310,000. Several of the identical style have sold since at £340,000. Again I was a buyer who could move in six weeks.

You should be in a strong position and don't take what the woman has said as the final price. She has no power to change anything. Only more senior management can. It's true that you can't offer on a new build, but incentives can be great if you are willing to move in fast.

If you don’t like dealing with the salesperson directly then how about emailing her with an explanation of the extras you want included re landscaping if that would make a deal possible?

Ultimately in your situation I would be inclined to view a couple of the slightly cheaper properties on the same estate too, but only if it becomes clear you can’t get a deal done on this one.

Could you ask them to pay the stamp duty?

Don’t offer any lower than £420k
Maybe reverse the way you lay it out. You don’t offer below the advertised price, but ask them to increase their deposit contribution by £20-£40k.
Make sure they are fully aware of your position to proceed.
Offer them the incentive of a fast exchange, and make sure you employ a decent local solicitor that can carry that out for you.
As others have said, the timing may play a big part. If that was the first day of a new bonus period, then they may hold out. Catch ‘em on the last day and they’ll be all over you like a rash.
I think you have conducted yourself perfectly so far. Like you I’d rather walk away then give in, however, don’t walk away if you will regret that decision, as a few tens of thousands for a life time of happiness isn’t a bad deal.
And get the Welsh snaggers around after you’ve moved in. £500 well spent.

We got the stamp duty paid on ours, so it’s certainly worth asking. But not that particular sales person, who appeared to be disinterested in her job.

Thank you so much everyone - brilliant advice and support.

She left a message on my voicemail this afternoon saying 'it might be worth a chat about how far we are on price because we'd love to make this work.'

I will call her back I think, but not until Monday.

*how far APART we are

Few years ago now we were in a similar situation the Estate Agent we had sold ours through told me that it’s ok to negotiate with a builder and we should give it a try. This was David Wilson too. I didn’t bother with the sales person on site but called head office direct (did it on a day the sales office was closed). Told them we were proceedable and would instruct solicitor immediately that day if they offered a good enough discount. We had already viewed the house as it was complete. They offered a figure (can’t remember exactly what it was now) and I said no not enough and quoted a similar spec from a different builder in the area that was cheaper. They came straight back and offered me more off.
Son did similar with Avant 4 years ago and got a good discount and extras too. So worth a try.

Thank you. I had no idea it was possible to go over the head of the salesperson but this sounds like a great idea.

This thread has been hugely helpful to me. MN at its best. Thank you.

Interesting! Bet she didn't expect you to just walk away and to pay askinf price! You showed her

Friend of mine works for a large house building company . He once told me price negotiations aren’t a thing unless it’s the last few plots. Because if you drop the price for one then that price is visible to all who come after so nobody will then pay full price. He bought a house from his company once and had to pay full price but did negotiate lots of extras/better kitchen, etc. you might get them to pay stamp duty I guess.

Hi, was just wondering how you got on with your offer?

Thanks for asking. When I rang back she told me how much the last identical plot sold for and it was 12% off list price so it seems that discounts are possible. She asked if I'd be interested if I could have the same deal and I said yes. She then rang back and said her manager said it was too soon to reduce this particular plot. We're a month further on now and it's still unsold. I find it hard to believe really. It's obviously not meant to be!

Go into the sales office with a formal typed up offer specific to the plot and price. Make it clear you are a cash or cash and mortgage lined up with no chain. Give them a time to respond after which it is withdrawn. Perhaps also CC it to the sales dept at Wilson's

See what happens then