Best house part exchange companies in the UK 2024

Here’s our full guide to finding the best house part exchange company in the UK in 2024…

The attraction of a hassle-free move into a brand-new home is undeniable. Part exchange schemes offered by major UK homebuilders like Taylor Wimpey, Persimmon and Redrow, promise just that. But is it the right choice for you?

In this article we will cover the basics of part exchange, if they are legitimate, what you should look out for, the house part exchange pros and cons and the best part exchange companies currently operating in the UK. 

Key takeaways:

• Redrow is the best rated nationwide house part exchange company. 

• Hill is the best rated house part exchange company on Trustpilot.

• You’ll receive 70% - 85% of your house value.

• We may be the better choice if you need to sell your house faster than 6 weeks.

What is a house part exchange company?

A house part exchange company, often a private builder or developer such as Taylor Wimpey, Persimmon, Barratt Homes, Bellway, or Redrow, offers a service where they buy your current home for some or all of its value. The equity from this sale is then used towards purchasing a new build property in their development. 

One of the key differences between using a house part exchange company and the open market is the convenience; you don’t have to wait for your current home to sell before moving into your new build. The developer essentially funds your new purchase, planning to recoup their investment by selling your old home. 

However, house part exchange companies can be selective and may not accept all types of properties, so you will need to weigh the pros and cons. It’s also not common for developers to heavily advertise their part exchange options. You might need to inquire through your local estate agency to find a company that offers this service.

If you do get accepted into a house part exchange scheme, once the transaction is complete, the developer will sell your older home on the open market. Their goal is to profit from the difference between the price they paid for your home and the price they eventually sell it for. 

Selling to a cash house buying company like The Property Buying Company (us) may be more beneficial for you, as we offer an immediate sale without the stringent acceptance criteria often imposed by part exchange companies. We will buy any house, in any location, in any condition. This ensures a quicker, more straightforward process without the need for marketing your property or lengthy waiting periods. 

Are part exchange companies legit?

The part exchange industry is a legitimate way to sell and buy property, but it’s important to find the right part exchange company for you, as not all are the same. 

A genuine part exchange company usually offers around 70% to 85% of your home’s market value. If you’re dealing with a new build company, they may increase this offer to get closer to the full market value, depending on how eager they are for you to purchase a new home.

However, some part exchange companies may fall short in certain areas, leading to occasional labels of being a scam. One common issue arises when a company promises that a new build will be completed by a specific date but fails to meet this deadline. In such cases, if your current home has already been sold, you may be forced to rent until your new property is ready.

Additionally, some first-person accounts from online forums like Mumsnet, suggest that certain part exchange companies (Bloor Homes), might devalue a property at the last minute or even withdraw from deals after contracts have been signed. Therefore, it’s essential to check a part exchange company’s online reviews before proceeding.

Despite these potential issues, many people have had positive experiences with part exchange companies, noting that the process was smooth and quick, even though they received less for their property compared to selling on the open market. 

Selling your house to us can be advantageous here as well, as we offer a transparent and straightforward process with fewer variables that might lead to delays or financial setbacks. This can provide peace of mind and financial certainty, especially if you are in an urgent situation. 

When selecting a part house exchange company, it’s important to perform your own due diligence. Here are some key ways to help you make an informed decision:

Online Reviews:

Before engaging with any house selling or buying company, always check their online reviews. Trustpilot and Google reviews are reliable sources. Aim for companies with at least 4 stars on each platform and be cautious of companies with less than 3 stars, or a perfect 5 star rating:

• 3 Stars or less: This may indicate consistently poor reviews and a lack of effort to improve.

• 5 Stars: Perfect ratings can sometimes be a red flag for purchased reviews.

For companies with 4 stars, scrutinise their negative reviews to identify common complaints, which can highlight areas where the company may be lacking. Also, observe how the company responds to complaints - do they provide factual, constructive replies, or are their responses dismissive?

Social media activity:

A property part exchange company’s social media presence can be a key indicator of their customer service dedication. Social media should not only showcase properties but also engage with customers. Look at how they interact with their audience:

• Response time: Send a direct message and see how quickly they reply.

• Tone and politeness: Are their responses professional and courteous?

Company Memberships:

Membership in reputable associations can signify a company’s commitment to high standards and customer service. Check the company’s website for memberships and review their complaints procedures. Some key associations in the UK include:

• Home Builders Federation (HBF): Ensures adherence to industry standards and best practices. 

• National House Building Council (NHBC): Signifies high construction standards and offers a 10 year warranty on new homes.

• New Homes Quality Code: Guarantees fair treatment and transparent communication.

• Consumer Code for Home Builders: Protects consumer rights throughout the home buying process.

• New Homes Ombudsman Service: Provides access to independent dispute resolution and ensures consumer rights are protected.

Awards:

While awards can sometimes be misleading, they can still provide insights into a company’s reputation. Look at the awards and the organisations that grant them. Awards from reputable bodies focusing on construction quality or customer satisfaction are more credible. 

Company programs:

Check if the company has a corporate social responsibility (CSR) page. This indicates a commitment to improving lives and suggests they value fair treatment of customers. CSR activities can include:

• Community programs: Raising money for local communities through regional offices.

• Partnerships: Sponsoring major UK events like the Olympic Team or England Football team, which can also raise awareness for cultural issues. 

Here at The Property Buying Company, we are members of The Property Ombudsman, and the National Association of Property Buyers, meaning you will always be fairly treated throughout the sales process. We rely heavily on being transparent, and put customer focused practices at the heart of our business.

What to look out for when using a house part exchange company

When using a house part exchange company, be cautious of developers offering less than the market value for your current home. To ensure you receive a fair offer, it’s important to know your home’s true value before entering negotiations. Obtain independent valuations from two or three estate agents to have a solid understanding of what your property is worth. 

Entering a part exchange deal may also limit your ability to negotiate the price of the new property. Therefore, thorough research and careful calculations are essential to avoid overpaying. Being well-informed can help you secure better terms and avoid potential issues, such as unfavourable mortgage calculations.

New builds often come with a premium price, similar to how new cars depreciate as soon as they leave the dealership. To mitigate potential depreciation, plan to stay in the new property for several years. Compare the new build with older properties in terms of value, space and rental potential to fully understand the premium you are paying.

Terms and conditions can vary significantly between developers, so it’s important to read the small print carefully. Look out for any additional costs or conditions before you apply. For instance, some developers may require a refundable deposit based on the condition of your exchanged property.

Lastly, ensure a snagging survey is completed. This survey will check the quality of workmanship in your new home. Ideally, it should be done before exchanging contracts, but if that’s not possible, arrange for it as soon as possible after moving in. A professional snagging inspector will review all visible aspects of the property, ensuring any defects are identified and addressed. 

Opting to use our service might mitigate these issues, as our process provides clear, upfront offers, and less stringent requirements on property conditions, streamlining the process and reducing potential complications. Selling your house with us means a guaranteed cash house sale. 

Is it risky part exchanging a house?

Part exchanging a house does come with some risks, but many homeowners find that the benefits outweigh the potential downsides when compared to open market or private treaty sales.

When it comes to part exchanging a house, there are two primary routes you can take, each with its own risks; a new build developer part exchange or an independent part exchange provider. 

New build developer part exchange

If you are part exchanging with a new build company, they will usually offer you between 80% to 85% of your market value. The fast and guaranteed process is made possible by the company buying your house directly, which requires a healthy cash balance. 

It’s important to verify that the company is purchasing with its own funds and not relying on mortgages or bridging loans. You can confirm this by examining a recent bank statement of the company. 

Here are the risks of using a new build developer part exchange:

• Availability: New build home part exchange options are usually limited to certain times of the year and specific market conditions when incentives are needed to secure sales.

• Property criteria: These schemes are only available for certain plots or property types, and house builders have strict criteria for the properties they are willing to buy.

• Location: They usually only purchase properties local to the development, which is not ideal if you are relocating.

• Value difference: Most house builder’s part exchange schemes require you to buy a new home worth at least 30% more than the home you wish to part exchange. 

• Incentives: Using a new home developer’s part exchange service often means you’re not eligible for other incentives offered when buying a new build home.

Independent part exchange provider

Independent part exchange providers operate year round, in any market conditions and can purchase any house, including new homes or older properties. They consider all types of properties, including those with non-standard construction and unmortgageable homes. 

These providers can purchase homes anywhere in England and Wales and offer part exchange services whether you’re moving to a more expensive or cheaper property. 

But, there are risks associated with using independent part exchange providers:

• Lower offer: Independent part exchange providers usually offer less than the new build developers at around 70% of your market value. This lower offer is intended to cover their risk and ensure they can quickly sell your property. 

• Hidden fees: Some independent part exchange providers may have hidden fees or conditions in their contracts. These can include administrative fees, valuation fees, or costs associated with any repairs or cleaning required for your current home. 

• Limited regulatory oversight: Independent part exchange providers may not be subject to the same level of regulatory oversight as larger, well-known new build developers. This can increase the risk of dealing with less reputable companies.

• Complexity: The process may not be as streamlined as with a new build developer. Coordinating the sale of your home and the purchase of your new home can be complicated, especially if the provider does not have well-established procedures. 

A cash house buying company may offer a better alternative as we provide more consistent and transparent offers, leveraging our in-depth local knowledge and century of experience in the house selling and buying industry.

What are the pitfalls?

While the offer you receive might be slightly below full market value, the convenience and certainty provided by the part exchange are highly valued by many homeowners. 

In a traditional open market sale, you might have to deal with unpredictable buyers, fluctuating offers and the lengthy process of waiting for your home to sell. Part exchange eliminates these uncertainties, providing a streamlined and straightforward path to your new home.

One of the significant advantages is the absence of estate agent fees. Usually, estate agent commissions can take a substantial portion (1% to 3% +VAT) of your final selling price, which part exchange helps you avoid. This can result in considerable savings, which might offset the slightly lower offer you receive for your current home. 

Moreover, part exchange removes the stress of dealing with buyers who might back out at the last minute or try to negotiate the price just before exchange. This can be especially frustrating and costly, leading to delays and potentially derailing your plans. 

With part exchange, the developer purchases your home directly, giving you a guaranteed sale and a more predictable moving timeline. 

Another significant benefit is the potential to move into your brand-new home before your old one has even sold. This overlap can be incredibly convenient, as it avoids the hassle of funding temporary accommodation or dealing with storage solutions for your belongings. 

You can transition smoothly from your old home to your new one, reducing the stress and logistical challenges that often accompany a traditional home sale.

However, it’s essential to be aware of the potential risks. The slightly lower offer for your home might not suit everyone, especially if maximising profit is a priority. Additionally new homes can come with their own set of challenges, such as construction delays or snagging issues that need to be addressed post-move. 

Before proceeding with a house part exchange company, ensure you have a clear understanding of your home’s market value by obtaining independent valuations. Carefully review the terms and conditions offered by the developer and consider conducting a snagging survey to check the quality of your new home.

But, if you sold your house to us you would mitigate these pitfalls, as we offer a faster, more predictable sales process, with fewer complications. We can buy your house for cash in as little as 7 days.

Do you pay stamp duty if you part exchange?

When it comes to Stamp Duty, part exchange transactions are treated the same as any other home purchase. Here’s what you need to know:

Stamp Duty requirements

• You will pay the same amount of Stamp Duty as you would with any other home purchase. There are no special exemptions or reductions for part exchange deals. 

Current rules or exemptions

• As per the current rules in England and Northern Ireland, you won’t pay any Stamp Duty on the first £250,000 of the property’s value, which can provide significant savings depending on the price of your new home.

Developer incentives

• While some developers may offer to cover or subsidise Stamp Duty to facilitate a sale, this incentive is less common when using a part exchange scheme. However, it’s always worth asking about any potential incentives or offers the developer might have. 

Do I need a deposit?

Yes, you will need a deposit when buying a home through part exchange, even though your existing home is part of the transaction. 

The deposit is usually 10% of the purchase price of the new home, similar to a standard home purchase. Some house part exchange companies may make this refundable. Your mortgage lender will also require a deposit, but the equity from your existing property can contribute to this requirement. 

In some cases, developers may offer flexible deposit options, such as delayed completion arrangements or a reduced deposit requirement. This is more common when there’s a delay in the completion of your new home. 

If you’re a cash buyer (not using a mortgage), you might be able to negotiate a lower or even no deposit requirement. 

If you sold your house with us, we would be able to sell your house for cash in as little as one week, meaning you have cash in your bank for a house deposit 6 times faster than with a house part exchange.

What happens when you part exchange a house?

Part exchanging your house allows a developer to buy your current home while you purchase a new build from them. This process is quicker and more predictable than selling on the open market. Here’s an overview of the process:

Who legally owns house after exchange?

The seller remains the legal owner of the property until compilation. Exchanging contracts signifies a commitment to the transaction, but the legal title does not transfer until completion. 

While the seller retains legal ownership, the responsibility for the property after exchange can vary depending on the terms of the contrat. Typically, the risk of damage to the property passes to the buyer (part house exchange company), but this may be subject to negotiation. 

The seller may still be responsible for certain aspects of maintenance, such as ensuring the property remains insured until completion. 

The party exchange company does have a vested interest in the outcome of the property sale after exchange. Their goal is to complete the transaction and resell your existing home for a profit. However, their legal responsibility for repairs and maintenance will be subject to the conditions within your contract…read the small print!

Can a buyer pull out after exchange?

While it’s rare, it’s possible for a part house exchange company to pull out of a deal after the exchange of contracts.

Exchanging contracts creates a legally binding agreement between the parties. However, there can be conditions within the contract that allow either part to withdraw under specific circumstances. 

A part house exchange company might pull out after exchange due to factors like financing and survey issues. If a house part exchange company pulls out without a valid reason, they could face legal consequences, such as being liable for the seller’s costs incurred during the transaction 

Similarly, if the part exchange company withdraws, the seller can pursue legal action for breach of contract or try to find another buyer for their property. 

While the possibility of a part exchange company pulling out after exchange exists, it’s relatively rare. Most transactions proceed smoothly to completion once contracts have been exchanged. 

As we have mentioned, while it's rare for a house sale to fall through with a house part exchange company, it’s still possible. Selling to a cash house buyer like us, means that 99% of our sales are guaranteed.

What are the top 5 best part exchange house companies?

Finding the best part exchange house company? Don’t just take the company’s word for it - listen to their customers!

If you’re wondering which company is the best for part exchanging your home, you’re not alone. Many homeowners have faced the same question. The key is to look beyond marketing promises and focus on real customer experience.

To help you choose the right one for you, we’ve combed through Trustpilot reviews to identify the top-rated part exchange companies. Save yourself the time and hassle of researching each company individual - we’ve done the legwork for you!

What is the best house part exchange company in the UK?

With so many home buying companies to choose from, it can be overwhelming when looking for the best part exchange companies. Below we take a look at some of the best house part exchange companies on the market, and what their customers have to say about them (accurate as of 17th June 2024): 

1. Redrow

Redrow stands out as a leading premium homebuilder in the UK, dedicated to creating thriving communities by building responsibly and prioritising customer satisfaction. Their commitment to a “better way to live” is reflected in their forward-thinking home designs, inspired by the past but crafted for the future.

With over 50 years of experience, Redrow has constructed over 120,000 high-quality homes nationwide, earning a reputation for excellence and customer satisfaction. 

Redrow’s part exchange scheme simplifies the home buying process. If your current home is valued less than your chosen Redrow property, they’ll purchase your existing home through one of their preferred partners, aiming for completion within six weeks. This allows you to move into your new Redrow home without the hassle of selling your old one. 

Redrow’s commitment to quality is evident in their numerous awards for construction standards and customer satisfaction. While some negative reviews exist, it’s important to remember that individual experiences can vary, and Redrow remains highly rated in the house part exchange market. 

What customers don’t like about Redrow:

• Misleading communication: Some customers express frustration with unclear contract language, particularly regarding management company fees.

• Unresolved issues & poor workmanship: Some report ongoing problems with their homes, despite Redrow’s attempts to rectify them, and a few express dissatisfaction with the quality of workmanship.

• Communication & after sales service: A few customers find communication lacking, especially after purchase, and report delays in resolving issues. 

What customers love about Redrow:

• Helpful and knowledgeable staff: Many customers praise Redrow staff for their expertise, responsiveness and dedication to customer satisfaction.

• Excellent communication: Open and honest communication throughout the buying process is frequently highlighted as a positive aspect of the Redrow experience.

• Professionalism and high-quality homes: Customers appreciate the professionalism of Redrow staff and the quality of the homes they build, often exceeding expectations.

• Community building: Redrow’s efforts to foster a sense of community within their developments are valued by some customers. 

Overall, Redrow is a reputable builder with a strong track record, but it’s important to consider both positive and negative feedback when making your decision, and check if there are any reviews on the development you are looking to part exchange with. 

2. Barratt Homes

Barratt Homes is a leading UK homebuilder, recognised for their commitment to quality and customer satisfaction. They have achieved the prestigious HBF 5 Star customer rating for fourteen consecutive years, a testament to their dedication to delivering exceptional homes and services.

Their developments prioritise thoughtful design, adhering to Building for Life standards, and cater to both private and affordable housing needs. In the last financial year alone, they delivered over 17,206 new homes. 

Barratt Homes focuses on creating homes that meet the needs of modern families, offering features like ample storage, flexible open-plan spaces and innovative design solutions. 

What customers dislike about Barratt Homes:

• Construction quality concerns: Some customers have reported issues with construction quality, such as dampness, inadequate drainage, and the use of low quality materials. There are also concerns about parking, maintenance of communal areas, and security on some developments.

• Customer service challenges: Some customers have expressed frustration with the responsiveness of customer service, delays in addressing issues and a perceived lack of empathy towards their concerns.

• Misleading advertising claims: Some customers feel that the company’s claims of building “high quality” homes do not align with their experience, particularly regarding the choice of materials and finishes.

• Accountability for issues: Some customers have reported feeling blamed for issues with their homes, rather than experiencing a proactive approach from Barratt Homes to take responsibility for construction flaws. 

What customers like about Barratt Homes:

• Professional and friendly staff: The sales team, site managers and technicians are often praised for their knowledge, helpfulness and positive attitude.

• Helpful recommendations: Customers value the recommendations for solicitors and tradespeople, simplifying the often complex buying process.

• Stress-free experience: Many customers find the process of buying a Barratt home to be smooth and stress-free, thanks to the support and guidance provided. 

3. Persimmon Homes

Persimmon Homes, a major player in the UK housing market, constructs over 16,000 homes annually across more than 380 locations. They take pride in their reputation as one of the UK’s most successful house builders.

Persimmon Homes’ part exchange service streamlines the home buying process, eliminating the stress and hassle of selling your existing property, ensuring a smooth transition into your new Persimmon home. 

What customers dislike about Persimmon Homes:

• Poor maintenance & unresolved issues: Customers report ongoing problems with their homes and communal areas, even after multiple attempts to contract customer service.

• Unresponsive customer service: Many customers complain about the lack of communication and follow-up from Persimmon Homes’ customer service, especially regarding repairs and complaints.

• Broken promises and lack of action: Customers feel frustrated with broken promises and a lack of action from Persimmon Homes to resolve issues, leading to lengthy delays and unresolved problems. 

• Inaccurate property valuations: Customers express dissatisfaction with Persimmon Homes’ part-exchange valuations, feeling that their homes are undervalued.

What customers like about Persimmon Homes:

• Helpful and informative sales team: Customers appreciate the guidance and support provided by the sales team throughout the buying process.

• Quick resolution of snagging issues: Customers are pleased with the responsiveness of site managers and technicians in addressing any problems with their new homes.

• Positive overall experience: Despite some minor issues, most customers report a positive overall experience with Persimmon Homes, citing the helpfulness of staff and the quality of their homes. 

Overall, Persimmon Homes offers a streamlined home buying experience and builds a significant number of homes across the UK. However, addressing customer concerns regarding maintenance, communication and property valuations could further enhance their reputation and customer satisfaction. 

4. Bellway

Established in 1946 as a family-owned business, Bellway boasts over 75 years of experience in crafting homes in thoughtfully chosen locations across England, Scotland and Wales. Their legacy of expertise is complemented by dedicated customer support and guidance, making them a prominent player in the UK house market. 

With a commitment to energy efficiency, a variety of affordable buying schemes and over 250 charming developments, Bellway presents a compelling choice for people looking to part exchange. 

What customers dislike about Bellway:

• Broken promises and lack of communication: Customers report being misled about timelines, having agreements broken without warning and experiencing a lack of communication from Bellway.

• Poor after sales service: Bellway has been criticised for neglecting maintenance and leaving estates unfinished even after residents moved in. 

• Subpar construction quality: Customers have reported issues with unfinished roads, dangerous pavements, and houses that don’t meet quality standards. 

• Pressure to give positive reviews: Customers have reported feeling pressured to give positive reviews to NHBC before their issues have been resolved. 

What customers like about Bellway:

• Helpful and knowledgeable: Customers frequently mention the attentiveness, helpfulness and knowledge of Bellway staff, particularly the sales and site managers.

• Clear communication: Customers appreciate the clear explanations and information provided by Bellway staff, making the buying process easier to understand. 

• High-quality homes: Some customers specifically praise the quality and design of Bellway homes. 

Overall, Bellway possesses a wealth of experience and offers a wide range of housing options. However, addressing concerns related to professionalism, communication, construction quality and after sales support could significantly enhance their reputation. 

5. Taylor Wimpey

Taylor Wimpey are one of the UK’s largest residential developers. As a responsible developer they are committed to working with local people and communities. 

If you’re keen to get going with your house move but don’t have the time or energy to sell your old house, Part Exchange with Taylor Wimpey might be the answer. 

If your current property qualifies, they’ll make you an offer on your existing home, based on two independent valuations. If you agree to their price, they’ll take care of the survey and complete the transaction as quickly as possible. 

What customers dislike about Taylor Wimpey:

• Poor after-sales service: Customers report difficulties in getting issues resolved, unresponsive customer service and a lack of follow-up on reported problems.

• Lack of care and responsibility: Customers feel that Taylor Wimpey does not care about their concerns or take responsibility for issues once the sale is completed.

• Poor workmanship and quality: Customers report numerous issues with the quality of their homes, including structural problems, leaks, and poor finishes. 

• Lack of respect to customers: Customers feel disrespected and unfairly blamed for issues that are the responsibility of Taylor Wimpey.

• Safety concerns: Customers express concerns about safety issues such as unfinished roads, poorly designed drainage systems and dangerous play areas. 

What customers like about Taylor Wimpey:

• Positive sales experience: Customers highlight the positive interactions they have had with the sales team, who are described as friendly, helpful and professional.

• Thorough reservation process: Customers appreciate the thoroughness of the reservation process, which helps them feel confident in their decision to purchase. 

• Good communication: Customers value the clear and timely communication from Taylor Wimpey throughout the buying process and after moving in.

What is the most trusted part exchange business?

Among the UK-wide part exchange companies we’ve reviewed, Redrow stands out as the most trusted, boasting over 8,000 reviews with an average rating of 4.5 stars on Trustpilot. 

However, if your search extends to the London and South East regions, Hill is the highest-rated home builder offering part exchange services on Trustpilot. With over 2,000 reviews and a near perfect 4.9 star rating, Hill has garnered significant customer acclaim.

They offer part exchange options at several developments, including Capstone Fields, Chesterford Meadows, Eden Green, Knights Park and Millside Granage. 

Furthermore, Hill boasts a 5-star home builder customer satisfaction rating and was honoured with the Housebuilder of the Year award in 2023, among numerous other accolades. 

But, if you don’t want to risk it, or you need to sell your house fast, then opting to sell your house with a trusted and genuine cash house buyer like ourselves might be even more beneficial. 

We can sell your home in as little as 7 days, we cover your legal costs, we’re members of the TPO and NAPB and are the UK’s most rated cash house buyer on Trustpilot. Oh, and you will also receive 75% to 85% of your house value, which is 5% more than part exchange house companies. 

What have you got to lose? Simply fill out our postcode cash offer form below and get a completely no-obligation cash offer for your property.

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