Figures show that around one in three property purchases in the UK end up falling through. While many of these occur because the buyer has changed their mind or because the seller feels the process isn’t moving quickly enough, a significant proportion also fail because of problems with collapsed chains.
Having a property to sell can be a problem if you’re looking to move home. Now, a new scheme aims to help people buy a new build property if they have a home to sell. Keep reading to find out more.
To Move Now launches part exchange alternative to speed up new homes sales
A new scheme has been launched to help buyers move into new build homes more quickly and to help housebuilders sell their new properties.
To Move Now has created a portal which is designed to connect housebuilders whose buyers have properties to sell with a panel of corporate property purchasers.
Members of this corporate panel bid to buy the second-hand properties directly, so the developer can sell its new homes without being exposed to chains or taking on part exchange stock.
To Move Now Director Chris Taylor, who has more than 30 years’ experience across a range of property disciplines, co-founded the business in July. He explains: “Part exchange is a tried and trusted system, but it does not fit every scenario.
“To Move Now provides a cash buyer and a fast sale where part exchange isn’t appropriate. For example, Help to Buy can be used in conjunction with our service, whereas government rules prevent the scheme from being used with part exchange.
“Our service works for people moving up, down or sideways and operates throughout mainland UK, so is not restricted by geography. We work with new homes developers of all sizes, retirement living providers and estate agents.
“The whole process is transparent, with no charge to the developer or its purchaser, and aims to deliver the best result for all parties.”
To Move Now works with the housebuilder and the new build property buyer to prepare details of the property to list on the portal. The panel then has 48 hours to bid, during which time only the highest offer is visible to them.
To Move Now then presents the highest offer to the housebuilder for discussion with the purchaser. If a sale is agreed, exchange can usually take place within 28 days, subject to a RICS report.
Average time to sell £500,000 homes has more than doubled in last two years
To Move Now is the sister company to Developer Solutions Ltd, one of the country’s leading providers of land appraisals, viability assessments and market analysis.
Its chief executive and founder, Chris Gregory, says: “To Move Now is an extension of the Developer Solutions ethos. Through our discussions with developers across the country we identified a need for a service which could accelerate sales.
“Our own recent analysis identified a blockage where downsizers are struggling to sell their homes, particularly over £500,000. The average sale time of homes over £500,000 has more than doubled from 67 days in 2016/17 to 151 days in the same period of 2017/18.
“Vulnerable chains and the slow second-hand market are restricting sales rates. We believe To Move Now addresses this and the feedback we have received so far has been very positive.”
As a homebuyer, the main benefits of this scheme are:
- You’ll receive a genuine cash buyer for your property
- You can use Help to Buy
- Offers normally available after only 48 hours
- There are no uncertainties caused by ‘chains’ and buyers letting you down at the last minute
- No estate agents fees to pay*.
(* If you already have an agreement with an estate agent you should check it before using To Move Now).
How To Move Now could help you buy a new build home
If you have a property to sell and you want to buy a new build home from a housebuilder who is part of this initiative, To Move Now can help.
Here’s an example:
You have your own property on the market with a purchase price of ‘offers over £300,000’. You haven’t had much interest in your home and have not received any offers.
You want to downsize by buying a new-build home from a housebuilder using the To Move Now scheme. The purchase price of the new property is £260,000.
You and the housebuilder agree to share your property on the To Move Now portal. Your property details are uploaded and they are shared with the panel of corporate property buyers registered with the portal.
After 48 hours bids ranging from £265,000 to £280,000 are received. The housebuilder agrees to reduce the price of the new home by 5% (to £247,000) in order to facilitate the deal.
You enjoy the peace of mind of selling your home through To Move Now for £280,000. You have no estate agents’ fees to pay and you’re able to exchange contracts quickly on your new home, which you have bought for £247,000.
To find out more information about the scheme see tomovenow.co.uk