Quote:
Originally Posted by dave99
Never seen anything about Ts & Cs on the forum so I'd like to take views on this from both sides on the contract if we have enough members who are buyers please:
1. Has anyone had to cancel a purchase and felt really "stung" by cancellation charges
2. what do developers think is a reasonable cancellation charge (a fixed amount or a percentage (what %)
3. what do buyers think is a reasonable cancellation charge (a fixed amount or a percentage (what %)
4. do developers ever take a sympathetic view and NOT enforce cancellation charges
5. Have any potential buyers been "put off" by unreasonable cancellation terms
You get the idea any comments around this subject appreciated.
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Well - I am currently investigating this with my agent at the moment as we have purchased a property on the Suleder development with a view of it being ready March 08. Obviously this isnt going to be the case and I am now thinking of getting us out there in January to assess our options rather than continuing with the Suleder purchase - there are a few other factors as well that have arisen now I can see actual 'reallife' photos of the development and not artists impressions! Anyhow, we have made the first payment of circa £18K including an initial reservation fee of £1000.00. Now, I think that a reasonable cancellation fee at this stage would be £1000.00 - the original reservation fee. Obviously if i was going to cancel on completion day I would expect to pay a higher cancellation charge - somewhere in the region of 10%-15% I would think is fair to all parties. In the contract (that i havent signed yet!) it states that there is a canx charge of 25% which I think is high. I will keep you posted on how I get on the the agent should we decide to cancel!