This was one of about a dozen 2/3/4 level terrace home developments throughout Ponsonby, Grey Lynn and Parnell where I was tasked with reclaiming the retentions from buyers.
Yes back in the day -and I can’t recall if other developers were doing it, or if it was our marketing strategy- the sale and purchase contract included a buyers retention. Say the sale price was $750,000 well the buyer might be entitled to withhold say 2% (I can’t remember the exact %) until any defects were agreed completed.
I don’t think this clause/concept has been around, certainly for off the plan (pay on settlement) purchases ,for 20 years.
I wonder if anyone will read this post and then try to utilise this idea as a buyer incentive to help move their housing stock? If so feel free to donate some sales proceeds! – I have a tonne more tested ideas!
In this particular development they all HAD fantastic views…….look in the comments to see what happened…basically a forerunner to the NPS-UD….
