Buying a new build property is quite different to a typical property transaction, especially if you are buying ‘off-plan’. New build transactions are much more complex due to your conveyancer needing to check that the planning conditions have been satisfied, the relevant adoption agreements are in place for roads and sewers, that the NHBC or equivalent warranty is in place and that the house has been built in accordance with the plans.
We work proactively alongside developers, who often require exchange within 28 days to secure your new home. If you are buying ‘off-plan’ a completion date is usually not agreed on exchange of contracts, instead it will be agreed “on notice” once the property is constructed and received its NHBC certificate to confirm that its constructions meets current building regulations.
Sometimes a developer will ask you to pay a reservation fee of between £500 – £2,000 to reserve your chosen property which will be taken off the purchase price on completion.