ᐅ Buying a Completed New Build – Is the Warranty Still Valid?
Created on: 15 Oct 2018 23:06
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DerStefan81
Hello everyone,
I am looking to buy a newly built house that is fully completed.
It is move-in ready: floors, painting, kitchen, garden, and paving work are all included and finished.
The construction company builds many houses in our development area and has already completed numerous projects. The feedback I received from some homeowners I spoke with is positive.
Since everything is already finished, I cannot inspect many things anymore.
I would appreciate any tips or suggestions.
I just want to make sure I haven’t overlooked or neglected anything.
I do not have the purchase contract yet.
How does the warranty or defect liability work in a case like this?
Is the builder/seller allowed to exclude it?
Thanks in advance,
Stefan
I am looking to buy a newly built house that is fully completed.
It is move-in ready: floors, painting, kitchen, garden, and paving work are all included and finished.
The construction company builds many houses in our development area and has already completed numerous projects. The feedback I received from some homeowners I spoke with is positive.
Since everything is already finished, I cannot inspect many things anymore.
I would appreciate any tips or suggestions.
I just want to make sure I haven’t overlooked or neglected anything.
I do not have the purchase contract yet.
How does the warranty or defect liability work in a case like this?
Is the builder/seller allowed to exclude it?
Thanks in advance,
Stefan
D
DerStefan8116 Oct 2018 09:37HilfeHilfe schrieb:
Normally, you should also have the 4-year warranty. But you should ask about that. Otherwise, it’s new, and you know what you’re getting. I don’t see any problem. I’m asking.
Can the seller exclude the warranty?
For new construction, it would be 5 years.
This is also a new build with first occupancy.
Maybe you should have a cost comparison done between choosing a 5-year fixed interest rate with the savings bank and immediately signing a forward rate agreement with another bank. If the latter is cheaper, there might still be some room for negotiation with the savings bank.
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DerStefan8116 Oct 2018 10:31Musketier schrieb:
Maybe you should have a calculation done comparing the cost of choosing a 5-year fixed interest rate with the savings bank and signing a forward agreement with another bank right away.
If it’s cheaper, there might still be some room for negotiation at the savings bank. There is no longer any room for negotiation.
60% financing:
5 years 1.6%
10 years 1.9%
15 years 2.2%
A 5-year fixed rate now with a forward agreement probably wouldn’t be worthwhile.
I already calculated it in Excel for 10+5 and 15 years.
The breakeven point was at 4.4% after 10 years for the follow-up financing of 5 years.
DerStefan81 schrieb:
5 years now with forward probably wouldn't be worth it.Are you sure?
You would need to compare the 10-year forward with the 2.2% rate from the 15-year term.
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DerStefan8116 Oct 2018 12:01arnonyme schrieb:
They probably don’t offer variable financing, right? 😉 I don’t think the savings bank offers something like that.