A new alternative to part exchange has been launched to help housebuilders sell new-build homes more quickly.
To Move Now has created a portal which connects housebuilders whose purchasers have properties to sell with a panel of corporate property buyers.
Members of the panel bid to buy the second-hand properties directly, so the developer can sell its new homes without being exposed to chains or taking on part exchange stock.
To Move Now Director Chris Taylor co-founded the business in July. He explained, “Part exchange is a tried and trusted system, but it does not fit every scenario. To Move Now provides a cash buyer and a fast sale where part exchange isn’t appropriate. For example, Help to Buy can be used in conjunction with our service, whereas government rules prevent the scheme from being used with part exchange.
“Our service works for people moving up, down or sideways and operates throughout mainland UK, so is not restricted by geography. We work with new homes developers of all sizes, retirement living providers and estate agents.
“The whole process is transparent, with no charge to the developer or its purchaser, and aims to deliver the best result for all parties.”
To Move Now works with the housebuilder and its purchaser to prepare details of the property to list on the portal. The panel then has 48 hours to bid, during which time only the highest offer is visible to them.
Then, To Move Now presents the highest offer to the housebuilder for discussion with the purchaser. If a sale is agreed, exchange can usually take place within 28 days subject to a RICS report.
To Move Now is the sister company to Developer Solutions Ltd. Its chief executive and founder, Chris Gregory, said, “Developer Solutions provides data, analysis and insight to solve developers’ problems in areas ranging from land valuations and local area appraisals to finance and mortgage availability.
“To Move Now is an extension of the Developer Solutions ethos. Through our discussions with developers across the country we identified a need for a service which could accelerate sales.
“Our own recent analysis identified a blockage where downsizers are struggling to sell their homes, particularly over £500k. The average sale time of homes over £500k has more than doubled from 67 days in 2016/17 to 151 days in the same period of 2017/18.
“Vulnerable chains and the slow second-hand market are restricting sales rates. We believe To Move Now addresses this and the feedback we have received so far has been very positive.”