New builds - what can i haggle if anything?

[thecraw]

Going to look at some new builds in a Miller Holmes development with a view to puting down a deposit on a new house this weekend. I've never bought a new build and don't ken what's deals are available or what I can argue or haggle over!

Can you get deals on New developments at all? Can I ask for X Y or Z to be included? I'm totally in the dark so thought I'd try the vast knowledge that frequents the forum for any advice that they can offer.

Tips and help appreciated.

Thecraw.

 

[fundy]

Basically everything is negotiable and the further into the build process a property is then usually the more leverage you have (as they have less time to sell it)

The way they are normally set up is the sales person on site will have a minimum price she can accept on any property, you may be able to get lower from the area sales manager or head office (by making an offer lower and leaving it on the table for 7 days say)

The best time to try and get a deal from them will be at their financial year end, followed by half yr and finally quarter ends as they will have targets to meet (and some times be desperate).

If you are making an offer then make sure you know what you are offering on, ask for a copy of the full specification before you offer and if there are extras you want make sure this is addressed before you agree a price.

The plots they are pushing with deals are likely to be the least desirable, doesnt actually mean they wont negotiate on the better plots though, but you will need to specify which plots interest you.

To give you an example of scope, I have seen the same house type sell for 15% different in the space of a week, with the poorer plot being sold for the higher price!

 

[fundy]

Seems Miller homes yr end is 31st Dec, so the closer you get to end of june the better deal you may be able to get (subject to how they are doing vs their targets)

 

[John_Findlay]

Good advice from Fundy there.

Also you can try to negotiate the builder paying your stamp duty, legal fees etc. Can get a hefty discount if you manage that.

 

[BeachGolfer]

If you're buying off plan or its an expected high demand development, you'll need to play hardball to get anything.

If construction has started and there are a number of unsold units the first fix stage, you'll get deals on finishings such as tiling, hardwood flooring or carpeting upgrades. Developers tend to buy appliances en masse so there are likely to be limitations of what they offer above and beyond standard spec.

If there are unsold finished units, offer whatever you think you can get away with. Most developers hold back the best units i.e. corners, SW rear aspects to resell themselves or to "offer" up to seal a deal. Developers aren't likely to let a potential sale walk away lightly particularly if they've a notion the buyer might have cheque book and pen in hand.

Most don't realize that money is made on property at the buying stage. Good luck!

 

[thecraw]

Cheers guys, I'll get the lay of the land first then do my calculations etc.

 

[AMcC]

Which site is it and I will call our resi surveyor that covers the area and check out values and whether the starting price is realistic. They are duty bound to declare any inducements in the sales / survey docs. Either pm or text me if you want.

 

[GB72]

Look for upgraded carpets and floor coverings, upgraded kitchens and bathrooms, appliances fitted, turfing, garden landscaping. If they need to sell and you are in a good position (sold or nothing to sell) then developers are more than willing to cut a deal.

One thing to be wary of though is that, in England at least, all of these incentives are listed on a Council of Mortgage Lenders disclosure form that will be sent to your lender. This can have in impact on what they will lend and they may reduce the effective valuation of the property by the value of any incentives. Also note that some mortgage lenders will not consent to lend when developers are paying stamp duty, legal fees or offering cash incentives especially if the borrowing level is near the maximum percentage they will lend.

 

[Rooter]

How long has sales office been open? When you get there, hey will have a plan and you will see what is reserved etc. they will do deals I you can complete by X date, I saw approx 15% fluctuations in prices on my estate when we bought 5 years ago. Also as mentioned, get upgraded carpets, kitchen cupboards, cat5, pre wired sky, underfloor heating, fittings, silly things like bog roll holders and towel rails! The day we moved in, I had to spunk up over 150 quid for bog roll holders nd towel rails etc! Little hints add up... Then there are potential deals on stamp duty, legal fees etc.... It's a buyers market at the end of the day, if you have a mortgage agreed in principal and no chain, you are in a very good place to negotiate hard.

Good luck!

 

[bigslice]

recently as 6 months ago, i know someone who bought a new house but when they got it valued before buying it was valued less than the builder wanted. so haggled like hell to get A LOT of extras.
if its near a PROPER golf course i would ask if they would pay my first years fees and joining fees:whoo:

 

[CMAC]

the sales person on site (usually female part timer and on contract) has no negotiating power whatsoever, and usualy doesnt care! Decent sites will always fetch the asking price for the prime slots. Negotiations are only possible on the hard to sell plots (nearer the motorway, at the site entrance getting all the traffic, the small garden plots etc etc). House builders dont reduce when they dont have to (no business does), they only reduce when they need a quick sale or to shift the less attractive plots.

Bear in mind Craw that once signed up there is no compensation when they overrun on their 'promised' entry date, but you MUST pay up when they are ready, even if it clashes with the entry date of people buying your property, then your into bridging loans and hassle....... its very one sided in favour of the builder especially the big builders, smaller independents can be a bit more approachable.

Its not all doom and gloom but the big message is buyer beware, ensure you are very happy before signing up and question everything, plus get anything verbally agreed in writing or it will all be lost in the ether come move in day.

Which site is it out of interest?

 

[StrangelyBrown]

Shy bairns get nowt Craw

If your first offer doesn't embarrass even you, it isn't low enough

 

[thecraw]

Shy bairns get nowt Craw

If your first offer doesn't embarrass even you, it isn't low enough

I like that!

 

[JustOne]

If your first offer doesn't embarrass even you, it isn't low enough

Problem: Offering £4 probably wouldn't embarrass Craw! :whoo:

 

[StrangelyBrown]

Problem: Offering £4 probably wouldn't embarrass Craw! :whoo:

Not even if it was all in 2 and 1 pence coins?

 

[CMAC]

YW.