Property Completion What To Expect When Notice Arrives
When purchasing a new build property, it can be hard to predict when completion will take place. Completion is the actual date you will be provided with your keys and can move in. The completion date in the contract is usually on 7-10 days’ notice. Following the property being built notice to complete cannot be served on the Buyer’s solicitors until a building regulations completion certificate or a new homes warranty has been issued.
Once the notice to complete has been served, the Buyer has 7-10 days to complete or risk losing their deposit. Therefore, it is advisable to keep in touch with the developer or site office between exchange and completion.
Most mortgage offers last 6 months. Therefore, if the Buyer is obtaining a mortgage, it is possible that the mortgage offer will have expired before completion takes place. It is important to ensure that if the mortgage offer expires before completion, that it is can either be renewed or extended.
On receipt of the notice to complete the Buyer should make a snagging list. The snagging list is a list of any problems with the property. The Buyer can either do this themselves or have a snagging survey undertaken.
On the day of Completion, keys will normally be available for collection at the site office following receipt of the purchase monies by the Developer’s Solicitor.
Post Completion Matters
If the Buyer is buying on a large development, it may be years before the development is completed and the estate roads and landscaping are finalized. Therefore, the Buyer needs to be prepared for potential noise and disruption for some time after completion.
Most new build properties will have the benefit of a 10 year new homes warranty (ie NHBC). During the first 2 years, the developer is obliged to fix all defects and faults notified to them in writing. Any problems that the developer does not fix will be fixed under the warranty. From 3-10 years, the developer is only obliged to fix structural problems. However, all warranties differ, so it is advisable for the Buyer to check the terms of the Insurance Certificate.
If you need assistance with any aspect of buying a newbuild property, Talk to Tollers. We have an experienced and knowledgeable team on hand to guide you through these processes.