Persimmon homebuyers set to hold back cash to deal with snags

By Hamish Champ2019-03-21T12:28:00

Housebuilder’s customers will be able to hold an average retention of £3,600

Housebuilder Persimmon is to launch a retention scheme for its customers which would see an average of £3,600 held back by a homebuyer’s legal team in the event faults are identified at the point of purchase.

The firm, which says it is the first major UK housebuilder to introduce such a scheme, is to draw up a new standard contract which would see 1.5% of the total home value, equating to around 6% of the build fabric costs, withheld by the buyer until any snags are fixed.

Persimmon said that based on its current selling prices the retained amount would be approximately £3,600 per home. The housebuilder said it expected the new policy to be in place by the end of June.

Already registered? Login here

To continue enjoying Building.co.uk, sign up for free guest access

Existing subscriber? LOGIN

Stay at the forefront of thought leadership with news and analysis from award-winning journalists. Enjoy company features, CEO interviews, architectural reviews, technical project know-how and the latest innovations.

Limited access to building.co.uk
Breaking industry news as it happens
Breaking, daily and weekly e-newsletters

Get your free guest access SIGN UP TODAY

Subscribe now for unlimited access

Subscribe to Building today and you will benefit from:

Unlimited access to all stories including expert analysis and comment from industry leaders
Our league tables, cost models and economics data
Our online archive of over 10,000 articles
Building magazine digital editions
Building magazine print editions
Printed/digital supplements

Subscribe now for unlimited access.

View our subscription options and join our community