First Time Buyer Question

manofmarz

Hi all, I bought a house a couple of months back. It was the first phase of the development and is still being built. When I went to put a booking deposit on the house I was told the fixed price had increased by 10k, we really wanted the house so agreed to it, even though it was slightly over our mortgage loan amount.

Recently, I went to view the houses for phase 2 (and check on our own home's progress) and noticed that the price on our type of home in phase 2 had reduced back down to the original fixed price - 10k less than what we signed for.

Do we have any right to go back to the builder/real estate agents and request that our price be dropped back down also, or is that just wishful thinking?

levi

manofmarz wrote: »

Hi all, I bought a house a couple of months back. It was the first phase of the development and is still being built. When I went to put a booking deposit on the house I was told the fixed price had increased by 10k, we really wanted the house so agreed to it, even though it was slightly over our mortgage loan amount.

Recently, I went to view the houses for phase 2 (and check on our own home's progress) and noticed that the price on our type of home in phase 2 had reduced back down to the original fixed price - 10k less than what we signed for.

Do we have any right to go back to the builder/real estate agents and request that our price be dropped back down also, or is that just wishful thinking?

I would say wishful thinking cos you both agreed the price and then signed a legal contract reflecting this agreement. Annoying but this is what happens when buying and selling houses... the market moves. If you’re happy where you are just forget about it.

amcalester

Have you signed contracts yet?

I see you say you’ve signed for it already.

Might be worth asking to put the €10K towards improvements to the spec?

tradesman

You have nothing to lose by asking. Could be a good mornings work!

Edgware

levi wrote: »

I would say wishful thinking cos you both agreed the price and then signed a legal contract reflecting this agreement. Annoying but this is what happens when buying and selling houses... the market moves. If you’re happy where you are just forget about it.

Is a booking deposit a legal agreement?
Certainly worth kicking up about it, saying you have problems with the bank etc.

KevinCavan

Sounds like gazumping as they used to say during the last boom.

Creamy Goodness

Edgware wrote: »

Is a booking deposit a legal agreement?
Certainly worth kicking up about it, saying you have problems with the bank etc.

I wouldn’t say you have problems with the bank. They’ll just go “right so, there’s no shortage of people willing to give us the cash”.

I’d bring it up but wouldn’t fight it too hard. 10k is a lot of money but when it’s spread out over the length of a mortgage it’s no so bad.

_brendand_

If you've exchanged contracts then that's the price you're paying. If not, you can go back and negotiate, the worst they can tell you is no. I would say that the way these developments are advertised, the price shown for a particular type of property is often the lowest for its type available, then there are actually a range of prices for that house type depending on site location, orientation and other aspects. Say you signed for a 3 bed semi, you might have got one with a south facing garden and the price shown in the materials is the lowest price which would be for a house with a west facing garden. Or perhaps one house has a bigger garden than the other even though the indoor space is the same.

Like I said, as long as you've not exchanged contracts you should ask.

levi

Edgware wrote: »

Is a booking deposit a legal agreement?
Certainly worth kicking up about it, saying you have problems with the bank etc.

I may have misunderstood. The OP said they’d bought a house a few months ago. I understood from that, that they’re fully closed on the sale and moved in. If that’s not the case, then defo try negotiate cos if phase 2 is 10k cheaper then the builder has nothing to gain by putting it back on the market if you threaten to pull out...

Edit: just reread OP there... didn’t realize your house wasn’t finished. Negotiate away I’d say.