New Home Owners And Snagging Forum
Advice on buying a brand new home => House Builders => Topic started by: Philofacts on June 06, 2011, 12:20:41 pm
-
Desperate first-time buyers are being urged to carefully consider all aspects before committing to a housebuilder’s “dealâ€. Some of the larger house builders including Taylor Wimpey and Barratt and are due to link up with lenders to help provide finance for first-time buyers of their new homes by offering 95% mortgages.
However, the new home sector is struggling and mortgage expert David Hollingworth says, “buyers should only consider a builder’s deal if they were going to buy the property anyway. The deal could be a lifeline in a tough mortgage market but first-time buyers need to be cautious, as it is a buyers’ market. There are bargains to be had and buying a new build just because finance is available could end up a big mistake.â€
-
I agree its definitely a buyer's market out there ...and will remain so for at least another 2 years I think
I wouldnt be warned off new build homes...in fact now is the time to buy one.....and yes make use of builder's incentive schemes
If you are in the market for a new property of any size do your home work and negoitiate like crazy ....the sales girls are pretty quiet at the moment.
So as BNH says ...make use of the end of month , end of period offers when builders are desperate to sell
Push for as many extras as you can included in the price
Walk away if you have to ....you can always come back to a deal :)
-
But............. dont pay over the odds just because you can only get the mortgage from a house builder.
-
Housebuilders love first-time buyers.
Over exited, no experience, naive, scared to complain.........
-
There's the added issue that lenders are very wary to lend to first time buyers when they're looking to buy a newbuild (outside of any government scheme of course!). I believe the Woolwich are currently the only ones willing to let first time buyers borrow the money...and they require a minimum of 15%. It's a shame because old or new, houses are still built of the same stuff!
-
New build homes general have a premium over second-hand homes.
House builders are keen to maximise their return and new homes have some attractions older homes dont.
See advantages of new homes (http://www.brand-newhomes.co.uk/advantages_of_buying_a_brand_new_home.htm).
Most lenders require double the normal 10% deposit for new homes (20%) and up to 30% for new build flats.