Must sell home before deposit on new build ?

[CSK423]

Was unsure where to put this but finance seemed the best option.

Has anyone heard of this before ?

New build developer is not taking deposits on their plots until they know the buyer has sold their own home or has no home to sell ? therefore not in a chain.

How would they police this ?

I was considering this development without selling (rent out) and releasing equity in our current home so unsure how they would view this scenario ?

[Sarnie]

You wouldn't then be in a chain would you..............

[CSK423]

I understand that, it's more around how would they police it ?

I'm going to rent my property, put deposit down, I've changed my mind I'm putting it on the market.

[Sarnie]

CSK423 said:

I understand that, it's more around how would they police it ?

I'm going to rent my property, put deposit down, I've changed my mind I'm putting it on the market.

I assume the issue would be when you weren't able to exchange contracts because your property hadn't sold?

[CSK423]

Sarnie said:

I assume the issue would be when you weren't able to exchange contracts because your property hadn't sold?

Which is typical 28days before completion.

I've arranged a meeting with the Builder later in the week to discuss, I'll see what comes of it.

[Sarnie]

CSK423 said:

Which is typical 28days before completion.

I've arranged a meeting with the Builder later in the week to discuss, I'll see what comes of it.

Builders usually want to exchange within a couple of weeks of accepting your offer...not 28 days before completion....

[KTF]

I suspect they mean that you have a buyer in place and/or already sold to speed the process up rather than you have not even put your property on the market.

If you are planning to rent yours out then you will be 'chain free' and should meet the criteria.

[CSK423]

Sarnie said:

Builders usually want to exchange within a couple of weeks of accepting your offer...not 28 days before completion....

ok thanks for that, noted.