Conveyancing and New-Build Properties: What Are the Key Differences?

When buying a property, one of the most important steps is ensuring the conveyancing process goes smoothly. For new-build properties, however, the conveyancing process can differ significantly from purchasing an existing home. At Broadbents Solicitors, we understand these unique challenges and are here to guide you through every step of buying a new-build property.

In this post, we’ll explore the key differences in the conveyancing process for new-build homes and how our expert solicitors can help make the experience as straightforward as possible.

One of the most important differences when buying a new-build property is the developer’s contract. Unlike a standard property sale, where the buyer and seller agree on terms, with new-build properties the contract is set by the developer. These contracts often have strict deadlines and clauses that can limit your ability to make changes or negotiate terms.

Key terms to look out for include:

• Completion Date: This may be flexible, as construction delays can impact when you can move in. Ensure that you fully understand how these delays will affect your contract and what remedies are available.
• Defects Period: Developers may offer a period during which they are responsible for fixing any issues or defects in the property after completion. Make sure the length of this period and the scope of coverage are clearly defined.

New-build properties must comply with planning permissions and building regulations, but these may still be in progress at the time of purchase. As part of the conveyancing process, we will ensure that all necessary permissions have been granted and that the developer has adhered to local authority rules.

We will also check whether the property has been built in accordance with building regulations and ensure that necessary certificates (such as a Building Regulation Completion Certificate) are provided. These legal checks are crucial to prevent potential issues when selling the property in the future.

Many new-build properties are eligible for government-backed schemes, such as Help to Buy or First Homes, which can make purchasing more affordable. While these schemes can be beneficial, they add an extra layer of complexity to the conveyancing process.

At Broadbents Solicitors, we have extensive experience in handling conveyancing for new-build properties under these schemes. We can guide you through the eligibility criteria, ensure the necessary paperwork is completed, and liaise with the developer and mortgage lender to make sure everything aligns with the specific requirements of the scheme you’re using.

One common issue with new-build conveyancing is the potential for delays in construction. While you may secure a mortgage offer for your new-build property, many mortgage offers have a validity period, typically lasting six months. If the construction of the property is delayed and exceeds this time frame, your mortgage offer may expire, requiring you to reapply.

To avoid this, it’s important to work with a solicitor who understands the time-sensitive nature of new-build purchases. At Broadbents Solicitors, we communicate closely with developers and mortgage lenders to ensure that your financing remains aligned with the completion schedule. We also advise on the best steps to take if delays arise.

Most new-build homes come with warranties, such as the NHBC (National House Building Council) 10-year warranty, which covers major structural defects. However, not all warranties are the same, and it’s important to understand what is covered and what isn’t.

We will review any warranties and guarantees included with your new-build purchase to ensure that they provide adequate protection. We also make sure that you understand your rights if issues arise, whether related to structural defects, faulty workmanship, or appliances.

The timeline for purchasing a new-build property can differ from buying an existing home. Off-plan purchases, where the property hasn’t been completed yet, may involve longer waiting times, with exchange of contracts occurring well before the property is built. During this period, you may have to be patient while construction is finalised.

The conveyancing process typically involves:

• Reservation Agreement: You may be required to put down a deposit to secure the property.
• Exchange of Contracts: This usually happens shortly after your reservation and involves putting down a larger deposit (often 10%).
• Completion: Completion may not happen until months after the exchange if the property is still under construction. During this time, we’ll ensure regular checks on progress and update you on any issues.

We ensure you are fully aware of these timeframes and help you plan accordingly to avoid any complications or misunderstandings.

At Broadbents Solicitors, we have decades of experience in handling the conveyancing of new-build properties. We understand the unique challenges these transactions present and are dedicated to ensuring that your purchase goes smoothly.

Our team will:

• Conduct thorough legal checks to ensure the property complies with all planning permissions and building regulations.
• Negotiate the terms of the developer’s contract, ensuring your rights are protected.
• Advise on government schemes and ensure they are correctly applied to your purchase.
• Keep you informed and up-to-date on any potential delays or issues that may arise.

If you’re considering buying a new-build property in the Derbyshire area, our expert team at Broadbents Solicitors is here to help. Contact us today to discuss your conveyancing needs on Alfreton: 01773 832 511 or Heanor: 01773 769 891. Alternatively, we have an easy online enquiry form that you can complete and a member of our team will be in touch with you as soon as possible.