Author Topic: New EU legislation will force house builders to give completion date  (Read 3955 times)

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Philofacts

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The new European legislation, The Consumer Rights Directive, soon to become law in Britain, will, amongst other things, require all traders to state the time by which they will undertake to deliver the goods or provide the services.

Under these new regulations, it would be expected that all house builders would now have to state the completion date for each new home. Presumably this will be required at exchange of contracts. However, as nearly all house builders require an exchange of contracts within 28 days of reservation, it may prove difficult to state an exact date of completion, especially if the home in question is no where near completion at the time exchange of contracts is required.

To avoid problems, house builders may be forced to postpone exchanging contracts until such times as they are certain they can accurately state a completion date.

From a buyer's point of view, a fixed date may give peace of mind when planning the move.
However, it could mean that more new homes are rushed to meet stated completion dates, with the "end of year figures"  panic-rushed completions, becoming a monthly occurrence. 
This could adversely affect the quality of new homes built.
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Lily70

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Re: New EU legislation will force house builders to give completion date
« Reply #1 on: April 16, 2015, 11:56:16 pm »
I wonder if the legislation has eventually been enforced?

If a buyer needs to get mortgage, from the buyer's point of view, it is more important to plan additional expenses that would be incurred in case the builder delays completion beyond the mortgage offer expiry date.

If the initially expected completion date is somewhere six months ahead surely the builder would be able to give more or less accurate date rather than just stating "Autumn/Winter".


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Re: New EU legislation will force house builders to give completion date
« Reply #2 on: April 17, 2015, 07:02:50 am »
The Consumer Code is quite clear on completion dates, when they should be notified and how much notice the builder should give buyers.
But............if the builder says six months and is late, which he can be due to weather and being incompetent, all they are required to do is tell you of the delay.
As most mortgage offers are for just six months, it is up to the buyer to get their solicitor to write to the builder saying that if the home is not completed by the due date the housebuilder will be liable for any and all costs.
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Re: New EU legislation will force house builders to give completion date
« Reply #3 on: July 30, 2016, 08:01:30 am »
Judging by the number of cases raised about housebuilders failing to be given or meet completion dates I doubt housebuilders have been required to meet the EU directive and perhaps now, after the EU referendum result, they never will!
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