UK residential market: off-plan buyers beware

The residential market, particularly in London, continues to be very active with new developments coming to the market. We see this trend continuing as there is still a distinct shortage of residential units in London.

Many buyers purchase off-plan from a developer well in advance of the estimated construction completion date. Very often, a buyer will negotiate a right to sell on his or her purchase contract to a sub-buyer. Whether or not this is achievable is a matter for negotiation with the developer.

Where sub-sales are accepted by a developer then, depending on the terms of the original contract, the onward sale to the sub-buyer can be by way of sub-sale contract or, more usually, by way of an assignment of the original purchase contract…

Click on the link below to read the rest of the Dentons briefing.

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