New Build Conveyancing Solicitors

Campions Solicitors, Derby and Nottingham, New Homes Specialist Property Lawyers.

We specialise in new home purchases.  We act for clients who buy both apartments or houses.

We are fully aware of this issues that may arise on new build properties.

First Time Buyers Discount £72 inc VAT excludes RTB/RTA

Get an Instant Online Conveyancing Quote

Click on the relevant calculator to get your free online quote.

Sale
Purchase

Fixed Fee New Build Conveyancing – no hidden extras!

We have extensive experience in dealing with New Build conveyancing and offer low fixed fees as well as first time buyer discounts. To obtain an online quote please click here or for further information call our specialist leasehold department on freephone 0800 1071 207  (landline 0115 924 7028.)

Frequently Asked Questions about New Build

How much will the reservation fee be on a new build and is it taken into account on final purchase?

A builder for a new build will normally ask for around £500 as a reservation fee. This will normally be lost if the buyer withdraws. On completion any reservation fee will be credited against the purchase price.

Is there any difference in SDLT when buying a new home or buying an existing property?

There is no difference. The same rates and exemptions apply to both. For instance if you are a first time buyer then you will get the £300,000 exemption whether or not you are buying a new home or an existing property.

What is a New Build Exchange deadline?

Developers will normally impose an exchange deadline. This is a date by which the buyer must exchange. Exchange means an exchange of contracts between developer and buyer when the buyer becomes legally bound to buy the property. At that time there will be a 10% deposit payable although sometimes with a new build a lower deposit is required. Any reservation fee is taken into account. If the buyer does not exchange by then there maybe penalties. These may include withdrawal from the contract altogether by the developer or withdrawn of incentives.
The property may not be ready at this point or for some months afterwards.

What services do you include as part of your fixed fees?

We offer a fixed fee guarantee. When we deal with your New Build Conveyancing we will include the following as part of our services:
Checking the Lease- we advise you of issues arising from the Lease
Raising Enquiries – As well as standard Law Society enquiries we also raise any specific enquiries relating to the property.
Acting for your Lender – as well as acting for you, we are also instructed by your mortgage lender to ensure that all their conditions can be complied with.
Completion of SDLT forms – even if Stamp Duty Land Tax is not applicable, we still need to complete
All this is included within our fees and we will not charge you extra.

What is a New Build Completion on notice?

After exchange of contracts where you are legally obliged to buy then there are two ways in which the completion date can be fixed. The first is that there is a fixed date to complete. This will be the case if the property is ready on the date of exchange. The second is that the matter will be completed on notice. That means that at some later date the builder will serve a notice on the buyer that the property is ready. The buyer will then have a period normally 10 working days to complete the matter. This will happen if the property is not ready on the exchange date. It is referred to as completion on notice.

What are restrictive covenants and do they apply to new build properties?

Restrictive covenants apply to both new builds and existing properties. They are however usually much more extensive for new build properties. Most though not all existing properties will have restrictive covenants on their title.
These are agreements imposed on properties whereby the use of the property is regulated. The law they are based on is land law. That this means that covenants are independent of and maybe different to planning or building regulation control. They can be enforced by one owner against another although in practice this very rarely happens. They should however be observed strictly and failure to do so can result in difficulties when the property is sold.

What is a s38 Agreement?

A Section 38 Agreement is made under that section of the Housing Act 1980.S38 agreements are normally made in connection with roads on a new housing estate. The developer will commit to putting the roads in. Their commitment will normally be supported by a cash bond. Upon the roads being made up and the Estate finished then the Local Authority will take the road over and maintain.
The Agreement should be shown on the Local Authority Search. There can be considerable delays in implementing agreements. Sometimes there is no intention that roads become maintained by the Local Authority. That can be the case with some side roads or if the Estate is very small. In that case the owners will maintain the roads between themselves.

What are s106 Agreements?

Local Authorities on large developments will normally impose Planning Obligations on the Developer. These obligations will be put into an agreement. These agreements are known as s106 Agreements. This is after s106 of the Town and Country Planning Act 1990. Campions Conveyancing Solicitors, Pride Park Derby and Mansfield Road, Nottingham City Centre, advise on s106 Agreements when buying New Build Property and also recent new build property.
The Planning Obligations are of three types.
They are:
Set out the nature of the development. This is particularly important for the provision of affordable units, whether to rent outright or buy on a Shared Ownership Basis.
Compensate for loss or damage by the development.
Mitigate the impact of the development. This can include provision of public transport. However the Communal Infrastructure Levy Regulations April 2010, limit the s106 Agreements. Planning Obligations though will continue to be important. That is particularly so for Affordable Housing.
All enquiries to scampion@campions.co.uk

Who is liable for the Community Infrastructure Levy?

The Landowner unless someone else takes responsibility. The Levy normally becomes payable on Planning Permission or Permitted Development. How much is payable? This is decided by a Charging Schedule. That Schedule is prepared by the Charging Authority having regard to various factors. It is payable as pounds per square metre of the development.

What is the Community Infrastructure Levy?

We must first state that the Levy is complex. The Levy applies where there is a new build of 100 sq metres or more. If the development is a new house or flat the limit does not apply. There are though a number of exemptions.

How are the Fencing Responsibilities Dealt With On a New Property?

Either fencing will be the responsibility of one owner only or a joint responsibility. It is determined by the plan of the property. A “T” inwards on a boundary gives the responsibility to the owner of the property on which the “T” is. If there is no “T” the boundaries are joint.

If I buy a new Build property will there be any restrictions on extending or altering the property?

Restrictive Covenant may be imposed to restrict development of a property without the consent of the Developer. It is important to note this applies to all future owners of a New Build Property. Sometimes though such restrictions are time limited. If these Restrictions apply then it is extremely important to apply the Developer for permission to develop. If in doubt you should contact the Developer in any event. Such consents are in addition to the normal Building Regulation Approval and Planning Permission if required.

Are there Restrictive Covenants on Business Use on New Build Properties?

Most New Build Properties will have a Restriction to residential use only. Campions Solicitors are not sure how realistic that Restriction is when so many are now running businesses from home based on the internet. The answer may be that overt and visible business activities may cause issues. Do not forget that to use a residential property for business use will require planning permission.

What are SAP Calculations on New Build Properties?

Prior to any New Building Work on a new home then SAP calculations must be made. These are calculations to ensure that the building is compliant with Part L1 of the Building Regulations. These Regulations impose strict requirements on New Build to make sure such properties comply with requirements on thermal efficiency.

Can you please give me further details of the appropriate Building Regulations in relation to SAP and New Build?

This is in Approved Document L1A. “ Conservation of fuel and power.” This controls the insulation value of buildings, the allowable area of all openings, the air permeability, efficiency of boilers hot water storage and lighting. It also includes other matters.

What type of EPC do you obtain for a New Build Residential Property. Is it the same as an EPC that you would obtain for an existing property?

A New Build EPC is produced in a different way to an Existing EPC. The first step is that a certificate is produced by an On- Construction Domestic Energy Assessor. (OCDEA). That person will carry out calculations using the SAP Methodology and Software.
Then the assessor or another will produce the EPC outlining the efficiency of the new build. Architects plans will be referred to and detailed information on all matters referred to in Part L of the Building Regulations. Please see answers to above questions for more detail on Part L.

What guarantees are required on New Homes?

The general rule is that a new home must have a new home warranty under an approved scheme. The acceptable schemes are set out in paragraph 6.7.1 of the UK Finance Mortgage Lender’s Handbook for Conveyancers. If you look at that paragraph you will see that there are a large number of schemes that are acceptable. Individual Lenders will vary as to which scheme they might accept.

In what circumstances generally is a new home warranty required?

Normally any new Property, or converted, or occupied for the first time. In addition if buying a property built or converted in the last 10 years then it will be a requirement to make sure the property has such a warranty.

Do flats require new home warranties?

Flats require warranties in the same way as houses and are subject to the same rules.

Are new home warranties required in all circumstances?

The exception is if a Professional Consultants Certificate is obtained. This can be allowed in certain circumstances and more detail is given in 6.7.4 of the UK Finance Lenders Handbook.If the Property has been built or converted over the last 6 years and there is not a new Homes warranty such a Certificate is required.The principal circumstance where such a Certificate is acceptable is if there is no more than 15 properties on the development. However we must stress that this is to generalise and each new build has to be assessed separately as to whether a Professional Consultants Certificate is acceptable.

What is the legal position on rights of way over roads from a new Home?

There are three areas to investigate. The first issue is whether the road fronting the property is a public road or will it be. If it is already a public road then their needs to be no further investigation. If not then there needs to be an investigation as to whether a s38 Agreement( s38 of the Highways Act 1980) is in force. This is used when a developer enters into an agreement to construct a road with the Local Authority.

Then secondly it may be the intention that the road/access way  remains private. This should only apply to short roads/access ways. Then there must be a right of way given. The right must be subject to a contribution by all those using the access way. The right referred to is called an Easement.
Regards

The third issue that may arise is hopefully rare. That is that there are issues with access from the entire estate. This would occur if the road from the Housing Estate to the main public road was itself a private road and there were issues over access.

Is the Registration Fee at the Land Registry the same for a New Home as for an existing property?

No it is normally not. This is because a new Home will normally have a new Title. That new Title has to be Registered at the Land Registry. A new Title cannot be Registered electronically at the Land Registry. This means that the Registry Fee will be double the standard fee. All fees are set out under Scale 1 of the HM Land Registry: Registration Services Fees. To obtain that you can Google in the above.

Is the Registration Fee at the Land Registry the same for a New Home as for an existing property?

No it is normally not. This is because a new Home will normally have a new Title. That new Title has to be Registered at the Land Registry. A new Title cannot be Registered electronically at the Land Registry. This means that the Registry Fee will be double the standard fee. All fees are set out under Scale 1 of the HM Land Registry: Registration Services Fees. To obtain that you can Google in the above.

Get A Free Conveyancing Quote

For a payment of £70.00 including VAT upon instruction, you can rest assured that should your conveyancing transaction fall through, for whatever reason, you will not be charged any solicitors fees. This fee is payable per transaction and therefore if you had a sale and purchase with us you would need to pay £70.00 for each.

Should your sale or purchase fall through without having taken the No Move/No Fee option we will charge a fee as is reasonable for the amount of work done by that stage.

A discount of £20.00 plus VAT (£24.00) is available on all transactions if you are one of the following:

First Time Buyer
Cash Buyer
Buy to let Landlord
Previous client (where we acted for over the last 3 years)
If you qualify for this discount, simply deduct this amount from your total online quote and advise us of your circumstances on instruction.

Terms and Conditions

Only one deduction per transaction (e.g if both cash buyer and buy to let landlord we deduct £24.00).

Call us free

0800 1071 207

How can we help?