|
Buying a home off-plan - before it is built - has become
a fashionable way of investing in a new home. It enables
early buyers at a new scheme to choose the most attractive
plots and plan their interior (in some cases change
it according to their needs), all with the financial
advantage of having a home that could be worth more
than you paid for it when you move in.
However, there are pitfalls for even
the most sophisticated Londoners who do not do their
homework on the specification of what they are buying.
| Developers produce
show flats and homes as a guide, but these can
be misleading, and housed within a large building
with surrounding outside space, the property will
invariably look bigger. It is essential to have
a clear understanding of size to avoid disappointment
two years down the line when you visit your new
home only to discover that it has "shrunk".
|
|
|
| Developers are getting more sophisticated
with their marketing. Often, they produce seductive
computer images and glamorous virtual-reality
"fly-throughs". Housebuilders tend to
be less bothered about property misdescriptions
than estate agents, who periodically end up in
court because they publish wrong details. |
|
Battersea
landmark: Norman Foster's Albion Riverside is
"likely to become an iconic and exclusive
address" |
At drawing-board stage, a developer
may promise amenities such as a health club that they
have to abandon later on. You could find that a new
phase of homes springs up on a patch of ground originally
earmarked for gardens.
Whether developers are obliged to provide
extras not specifically mentioned in a contract is a
grey area.
"Buyers have to be careful to
look at a site inside out," says one estate agent
who deals with new developments in east London. "Often
a location is 'environmentally challenged' in some way.
Developers and brochures do not tell the whole story."
Sometimes, basic information such as
square-feet measurements is simply incorrect. Simon
Rusk gave up a £5,000 reservation fee after discovering
the Docklands penthouse he wanted to buy was going to
be smaller than originally indicated by a developer.
"I only realised this when I was studying the actual
floor plan. The flat was also to have a rooftop pool,
but on closer inspection it became clear that the pool
was going to eat up most of the terrace area."
Another issue is the construction programme.
Sometimes the build time turns out to be longer than
forecast and owners are forced into costly rented accommodation.
On other occasions, completion is sooner than expected.
Buyers receive only 14 days' notice to take occupation
of the property.
|
