Confused about timeline of events

wheresthebeef

Hi folks,
I've tried searching but can't find a clear answer.
We have approval in principle and mortgage broker says he is confident that when we complete our application in July that we'll be good to go. We need to keep saving until July to have enough cash on hand for stamp duty/legal fees. Deposit, savings, HTB, credit checks are all spotless and we're within our LTI and LTV guidelines.

We've seen the dream house and it's available off the plans now at exactly our 3.5 LTI value. If we wait until July, it'll either be gone, or we'll have to join the queue for phase 2 which will no doubt be another 10k higher.
Show house is not even finished yet. What we saw was the exact same house at another development by the same builder. But we want this location.

We're thinking of putting down the booking deposit now to secure the house we want at the price we want in our preferred location. Would it be safe enough to do that now? How long does it take for the contracts for sale to issue usually speaking?
Am I right in thinking that the booking deposit is refundable generally and it's only after contracts are signed that you're locked in? Do most people pay the booking deposit and then go applying for underwritten AIP? Or would people get the uAIP first and only then think about putting down booking deposit?

Brian201888

You'll be grand to do it now, they'll issue contracts to your solicitor that need to be signed within 21 days normally but even that can easily be pushed back. Tell them you have approval in principal and hand over your 5k or whatever to secure the place. Deposit is refundable until contracts are signed and even then depending on the developer it stays refundable subject to finance.

Plough ahead.

Darc19

Firstly, don't fall into the trap that prices will be 10k higher.
The market is flat. Prices are not rising and strong supply is coming through.

If it's really what you want and the location suits, then proceed.

It can take 6-7 weeks for contracts to be signed and your booking deposit is refundable. But once you sign the contract, you will be locked in.

A good solicitor can play for time especially in summer season.

wheresthebeef

And i'm sort of hoping they won't be quick off the mark with contracts given completion is likely a fair bit away. So we would be trying to play for time indeed as we won't be able to sign contracts until we have underwritten approval in principle.

Brian201888

Theres essentially nothing to lose by putting a deposit down at this stage, you'll get it back if anything goes wrong so if you're happy with the price and house then go for it.

Dolbhad

wheresthebeef wrote: »

And i'm sort of hoping they won't be quick off the mark with contracts given completion is likely a fair bit away. So we would be trying to play for time indeed as we won't be able to sign contracts until we have underwritten approval in principle.

New build contracts issue asap. Builders want you locked in for funding reasons. As people have said over and over again have your solicitor get the subject to loan clause in. But you can buy time. Solicitor can also things down if needs be. They have to review title and raise pre contract queries so that can push things out. Depends on where you are buying. I’ve heard in Dublin that people can lose white goods if not signed within 21 days whereas Cork doesn’t seem to do that and can be reasonable on timelines.

McBluffin

Just to give you an idea of where we are at with timings. Currently in the middle of buying a new build. Transferred €5k booking deposit 27th May. Estate agent said on 27th May that we could possibly be moved in by end of July as the house we are going with is already built. As of today contracts have still not been sent to our solicitor. Estate agent said it generally takes a little longer for contracts to be done up and sent to our solicitor when you are buying a Phase 1. My guess is we will be moved in around the end of August.