Advice on buying a brand new home > Crest Homes

Forced To Use Crest Choice of Solicitor

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moaninminnie:
I heard today that Crest were not allowing Help to Buy purchasers use their own solicitors.
Surely this is against the Consumer Code?

Apparently-the sales lady told me this today Crest are within their rights to refuse the sale to anyone, so that is how they get around it.  She assured me that we would NOT be allowed to purchase unless we talk to their Mortgage broker and MUST use their solicitor. She pointed out that their solicitors are used to HTB and by not using their solicitors errors and delays occur. Even though we have a solicitor friend who would be happy to help us who we trust!

It isn't stated on their literature or on the website. Having had a look at various HTB articles and the Consumer Code tonight, it seems Crest are wrong to do this.
But then, I suppose one could say any business is within their rights to refuse custom! Any thoughts?

New Home Expert:
As you have discovered it is illegal to force new home buyers to use a particular choice of solicitor.
The Consumer Code for Home Builders requirement 2.5 forbids it but the Code is not mandatory.
What Crest are doing is breaching SRA rules of conflicts of interest and most importantly not complying with the Consumer Protection from Unfair Trading Regulations 2008

You should NEVER EVER use the house builder's choice of solicitor, even if they only suggest or recommend a particular firm.

My advice would be to walk away and not buy a Crest new home.  Apart from this blatant disregard for the regulations and their own Code, Crest Homes are a 4 star rated housebuilder so they are not that good anyway, especially when it comes to quality and service!   

It is true Crest along with any commercial company are free to do business (or not) with whoever they want (as you are to not buy from them!) but they are not free to trade unfairly or openly breach regulations and legislation.

Please report Crest Sales to your local Trading Standards Office today.

You could (and should) also inform the Consumer Code regarding this clear breach - not that they will sanction Crest.

If people like you do nothing then house builders will be free to continue to break the law in this regard.

Lily70:
Moaninminnie:
If you are buying with HTB, you will need a solicitor who is familiar with the HTB requirements and a mortgage broker who is registered to deal with HTB.
I reserved with Crest with HTB, went with a solicitor of my own choice but the mortgage broker is the one Crest recommended.

When completing PIF for HTB you will have to indicate your solicitor and your mortgage broker.

I am close to exchanging contrcats and the funny thing now is that Crest solicitors (I mean the solicitor representing Crest) does not want to give even an anticipated completion date to my solicitor.

When I applied for HTB and for the mortgage they indicated estimated months of completion which were 6 months ahead of my mortgage application. According to HTB requirement the buyer must complete within 6 months after the issue of Authority to Exchange. Also lenders won't approve mortgage if the completion date is more than 6 months after the application date.

Now that I got HTB and mortgage approval Crest solicitors are suddenly unable to give Anticipated completion date. I think the good thing about HTB they won't issue Authority to Exchange if Crest does not provide Anticipated completion date. Going with HTB gives some assurance and puts pressure on the builder to complete within anticipated deadline.

I was also thinking about reporting Crest and their solicitors about not releasing the completion date, but I was not sure where to report and my solicitor assured my that she won't exchange .

onlybuynew:
Did you 'negotiate' incentives with your purchase Moaning Minnie?

My guess is yes - something Crest Nicholson rarely offer.

If you did then Crest's sales staff can ask that to help smooth the process for all parties concerned, you use a recommended Solicitor.

Of course you have the option of using your own, as they have the option to remove the incentive.

To offer an incentive is part of a 'negotiating process'. Think of it this way, you do/use what I want and I will consider your request/expectation of an incentive.

I hope that helps.

Lily70:

--- Quote from: onlybuynew on April 24, 2015, 02:19:19 pm ---Did you 'negotiate' incentives with your purchase Moaning Minnie?

My guess is yes - something CN rarely offer.

If you did then CN sales' staff can ask, that to help smooth the process for all parties concerned, you use a recommended Solicitor.

Of course you have the option of using your own, as they have the option to remove the incentive.

To offer an incentive is part of a 'negotiating process'. Think of it this way, you do/use what I want and I will consider your request/expectation of an incentive.

I hope that helps.

--- End quote ---

Solicitors' fees are not that high to break Consumer Code and get potential buyers complaining to relevant authorities.
In my opinion, incentives are to make a potential customer committed.
I got an impression that sales people who meet buyers at marketing suits are not necessary Crest employees and may be unaware of the requirements of The Consumer Code for Home Builders.

If Crest refuses to sell, they are not the only house builders in the market: there are other developers around. It is just a hassle for working people, to spend weekends to get familiar with areas and neighbourhood around new developments.

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