Snag list?

Zane97

Buying a new house and the contract came in to my solicitor yesterday.

When do I get a snag list done

the_syco

Not sure, but I'd say before any money is handed over. Remember: once they have your money, they don't have to do jack sh|t, or they can take their sweet time. Oh, they can cite lack of funds, etc, but if you let them know that they don't get a penny until they sort out the snag list, I'd bet it would get done nice and fast

odds_on

Basically, you can't do a snag list until you are living in the house and encounter the snags - doors not closing, windows not opening/closing, drains blocked (with rubble) etc. etc.

the_syco

odds_on wrote: »

Basically, you can't do a snag list until you are living in the house and encounter the snags - doors not closing, windows not opening/closing, drains blocked (with rubble) etc. etc.

Sorry, but f**k that. You get someone to look at the house. Someone who knows what to look for. Make sure they're not mates with your EA, your bank, or the builder of the house, or they may not do their job properly/cheaply. They'll make a list of all the snags, and you get the builder to fix them.

BostonB

Get everything done before you sign that last contract and hand over the last bit of money.

Once you do that, it would a rare builder that come back.

The_Conductor

Yes- normally the final 10% (or 5%) is kept by the solicitor until you are satisfied that the snag list is complete.
Note- if you have not agreed this in advance- you may in fact be in breach of contract if you decide to go down the road of witholding the final payment- if you haven't already done so- discuss with your solicitor.

BostonB

I'd have expected a solicitor to advise you of all these kinda at the start.

The_Conductor

BostonB wrote: »

I'd have expected a solicitor to advise you of all these kinda at the start.

Ideally, yes. A lot of solicitors specialising in conveyancing etc have been let go though- its the general practice solicitors who are now doing the bulk of this work- and many of them haven't been involved in property in the past 10-15 years.........

I personally know of 5 solicitors, specialising in conveyancing, who've emigrated over the past year (including my sister). Its not safe to assume that all the intricacies are being covered......

BostonB

They would want to be abysmal not to give that advice. You seem to be suggesting a lot of them might not know that, if true that would be shocking. Through strangely not surprising either.

TonyStark

When we bought out house last year, we asked the builder and he was on hand to fix anything up to a year from once we moved in. Obviously not things that were caused by us :-)

The_Conductor

BostonB wrote: »

They would want to be abysmal not to give that advice. You seem to be suggesting a lot of them might not know that, if true that would be shocking. Through strangely not surprising either.

The lack of knowledge and/or advice is depressing more than anything else. Its not just the builders who are emigrating- its everyone else too.....

focus_mad

Robbie G wrote: »

Buying a new house and the contract came in to my solicitor yesterday.

When do I get a snag list done

Just finished one a couple of days before Christmas.

I did the snag list before the contract was signed, the buyer paid for the house and signed the contract with a link to a new contract relating to the snag list.

A new contract was signed with the snag list, on the condition that the works would be done. To further ensure that the snag list would be completed, I put a price on completing the snag list (including labour).

The developer then gave the buyer this cheque as retention so that if the developer / builder never did the work, the buyer was not out of pocket.

Might be an idea for you going forward?

If you wish to pm me about it, feel free.

Victor

focus_mad wrote: »

The developer then gave the buyer this cheque as retention so that if the developer / builder never did the work, the buyer was not out of pocket.

What if the developer has no money in his bank account.

Get initial mortgage approval.
Pay deposit - typically €3,000.
Get solicitor to review contract.
Get valuation done by valuer.
Do any checks required by solicitor.
Get final mortgage approval.
If OK, pay contract deposit - typically 10% of contract.
Get snag list done by surveyor or similar.
Vendor completes snag list to buyer's / surveyor's satisfaction.
Pay balance of contract.
Vendor still responsible for obvious problems for 1-2 years and hidden problems for 6-12 years (new buildings only).

focus_mad

Victor wrote: »

What if the developer has no money in his bank account.

Get initial mortgage approval.
Pay deposit - typically €3,000.
Get solicitor to review contract.
Get valuation done by valuer.
Do any checks required by solicitor.
Get final mortgage approval.
If OK, pay contract deposit - typically 10% of contract.
Get snag list done by surveyor or similar.
Vendor completes snag list to buyer's / surveyor's satisfaction.
Pay balance of contract.
Vendor still responsible for obvious problems for 1-2 years and hidden problems for 6-12 years (new buildings only).

I suppose then from that point the buyer would have to ensure the snags are completed before full signing?

Easier said than done I know however builders I have dealt with have had no problem with that.

I was offering it as a suggestion to assist the OP

TonyStark

focus_mad wrote: »

Victor wrote: »

What if the developer has no money in his bank account.

Get initial mortgage approval.
Pay deposit - typically €3,000.
Get solicitor to review contract.
Get valuation done by valuer.
Do any checks required by solicitor.
Get final mortgage approval.
If OK, pay contract deposit - typically 10% of contract.
Get snag list done by surveyor or similar.
Vendor completes snag list to buyer's / surveyor's satisfaction.
Pay balance of contract.
Vendor still responsible for obvious problems for 1-2 years and hidden problems for 6-12 years (new buildings only).

I suppose then from that point the buyer would have to ensure the snags are completed before full signing?

Easier said than done I know however builders I have dealt with have had no problem with that.

I was offering it as a suggestion to assist the OP

Bearing in mind all of which is done within the time constraints of the mortgage approval from the bank. Usually the builder will stall for time knowing the above.

engineermike

Hi,
Just wondering where is the property ?
We cover nationwide - http://www.conspect.ie/

usual turnaround for snagging & re inspection 2 weeks.

mike f

focus_mad

Recommendations by PM no?

Zane97

engineermike wrote: »

Hi,
Just wondering where is the property ?
We cover nationwide - http://www.conspect.ie/

usual turnaround for snagging & re inspection 2 weeks.

mike f

Sorry, got it snagged and work is starting tomorrow

norrie

I'm starting to look at houses now but have never bought before so excuse the stupid question I'm about to ask. Are snag lists only for new builds or would you also have a snag list for a second hand property?

BostonB

You should really get a survey done by a professional building surveyor and even a builder/handy man. They might find a ton of stuff you won't. They'll also know the approx cost of getting things fixed.

norrie

BostonB wrote: »

You should really get a survey done by a professional building surveyor and even a builder/handy man. They might find a ton of stuff you won't. They'll also know the approx cost of getting things fixed.

I know about getting an engineer's report but I'm just wondering is it then normal, in the case of a second hand property, to ask the seller to fix certain things before buying it?

BostonB

The only reason to fix something would be to get more money for selling it. If they haven't done it before advertising they'd be unlikely to do it. That said it can't hurt to ask.

The_Conductor

+1 to what BostonB is saying- by all means get a snag list done- but if the seller hasn't rectified the issues prior to putting the house on the market, the sole use of the list is to seek a possible discount to rectify these issues- not get them to fix them. Second hand property is sold 'as-is' and it is up to you to satisfy yourself that any issues can be remedied at a reasonable cost- or if the cost simply isn't worth it (and it need not just be the financial cost!), walk away.......

norrie

Thanks lads, that answers my question.

engineermike

norrie wrote: »

I know about getting an engineer's report but I'm just wondering is it then normal, in the case of a second hand property, to ask the seller to fix certain things before buying it?

The norm is Snag list - Vendor is builder that is trading and can rectify snags satisfactorily (or a normal vendor selling a new build property - that is willing to get trades in to resolve issues on the snag list / or alt. provide an agreed figure for the cost of repairs).

Structural engineering survey - This will be unlikely to take smaller defects found on a snag list into account, the issues normally found can be very high in cost to resolve - and usually end up in a renegotiated figure for the sale price or both parties not progressing with the sale.

structural surveys are available however for both new and second hand properties it can be advisable due to the level of new build poor quality housing stock.

I have been involved in secondhand home were the vendor agrees to complete certain repairs to the structure to complete the sale, but this must be done to the satisfaction of the buyers engineer.
mike F

Victor

norrie wrote: »

I know about getting an engineer's report but I'm just wondering is it then normal, in the case of a second hand property, to ask the seller to fix certain things before buying it?

For a second hand property, your first post of call should be a building surveyor.

Getting a vendor of a second-hand property to fix something is extremely rare, but not unheard of. The usual thing is to deduct the estimated cost of repair from the offer price, reaching a final sale price by agreement.

Repairs may be insisted upon where there is a risk to the building, e.g. the property is open to the elements or at risk of vandalism or arson or the property is subject to dispute with a neighbour, e.g. part of the boundary is damaged.

hp1

At what point can a builder of a new home start charching interest after the completion of a snag list?

Can it be done before all snags have been checked by the buyer?we had snag done 2 weeks ago. Some items were not corrected until Friday just gone and got a letter saying interest will now be charged because sale has not gone through. We plan to close tomorrow but are raging at the threat of charging interest.

Borzoi

hp1 wrote: »

At what point can a builder of a new home start charching interest after the completion of a snag list?

Legal answer
It depends on what the contract says - ask your solicitor.

practical answer
its a largely empty threat designed to force the process along now that it suits the builder.

Dissappointed to see that this is still being done

commited

hp1 wrote: »

At what point can a builder of a new home start charching interest after the completion of a snag list?

Can it be done before all snags have been checked by the buyer?we had snag done 2 weeks ago. Some items were not corrected until Friday just gone and got a letter saying interest will now be charged because sale has not gone through. We plan to close tomorrow but are raging at the threat of charging interest.

How did this resolve for you? We're in this situation now and, to be honest, makes little sense as the builder is responsible for defects once you move in anyway so I don't understand why they use it as a delay tactic

BostonB

Because getting people back to fix things after they've been paid for it it s like sucking blood out of a stone.

Because there's no easy way to force them back to fix things.

Its an industry thats in the Dark ages.

hp1

commited wrote: »

How did this resolve for you? We're in this situation now and, to be honest, makes little sense as the builder is responsible for defects once you move in anyway so I don't understand why they use it as a delay tactic

Turned out to be an empty threat to get things moving. Bully boy tactics.

I was getting them to do some work after close of sale too though and made sure to hold back some money until all works were complete. Amazing how quickly a job can get done when a builder is owed money. Much harder to get them back when all funds are paid.