New Build Mortgages and Your Options
Purchasing a New Build Home
One of the huge benefits of buying a new-build property is that it is less likely to require the same levels of maintenance and upkeep you’d be faced with if you buy an older property. New Build homes are generally very well insulated compared to older properties meaning that you could find your energy bills are less than they might otherwise be.
Strict building rules and regulations governing developers here in the UK housing market mean that there are standards that they simply have to meet to make your property as energy-efficient as possible.
Negotiate on Price the Same as You Would With an Older Property
New build homes, whilst being all shiny and out of the box, does not make them a ‘set cost’ Developers are still generally open to negotiation. Treat buying a new-build property exactly as you would any other. If you don’t ask you don’t get. Of course, a lot will depend on the market at the time or purchase and how much demand there is for that particular development.
It’s always best to seek guidance from a qualified mortgage advisor. They’ll be able to tell you exactly how much you can borrow and how much deposit you will need to put down. They’ll go through the various lenders and help you make an informed decision on which suits you and your circumstances best.
Making an Offer
Once you have decided that you do indeed want that new build home, you will make an offer. If that offer is accepted yo will most probably need to pay a reservation fee. This typically ranges from £500 to £1,000 and is usually deducted from the purchase price when you complete.
If you withdraw you may not get this amount back and administration fees may be deducted so it’s best to be absolutely sure that this house and the development really is right for you. If you aren’t familiar with the local area then spend some time checking it out.
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