Part Exchanging your house: the pros and cons

Everyone’s home buying journey is different, with plenty of conventional and not-so-conventional options available to help you find and purchase a new home.

Part Exchange is one option - a faster, easier way to get new build home by exchanging your old property for a new one. Persimmon offers this scheme on selected developments, simplifying your moving process so you can collect your keys in no time.

But is it the best option for you and your family? Every buying scheme has pros and cons, so we’re taking a closer look at the Part Exchange scheme. 

What is Part Exchange on a house?

Part Exchange - often shortened to ‘PX’ - is when you sell your home to a property developer in exchange for a new, new build home. It turns the buying process into a single transaction, eliminating a lot of the back and forth that usually comes with moving house.

The price of your old property is then taken from the value of your new one, making it easier to afford your dream home. Note that you can only purchase a new build property with this scheme, although you can still exchange a period home. We’ll sell this on ourselves, taking the hard work off your plate.

Part Exchange is increasing in popularity, especially for families looking for a hassle-free move or those needing to relocate.

How does Part Exchange work?

Exchanging your home is relatively straightforward. However, the process can vary, depending on the developer.

With Persimmon, the process generally involves:

1. Once you’ve looked through our housing developments and found a new build you love, you can contact us about the possibility of a Part Exchange.
2. If available, we’ll work with estate agents and arrange a valuation.
3. We’ll then make you an offer based on our findings.
4. If accepted, you can start arranging your mortgage and move. From this point, the process is similar to the traditional buying journey, as you’ll need to liaise with solicitors and conveyancers. The difference is that it’s all done on a faster timescale.
5. We’ll complete our purchase on completion day. So, once the sale has gone through and conditions have been met, you can pick up your keys from our marketing suite and get settled in.

Is Part Exchange worth it? The pros:

Whether this scheme is worth it or not will depend on your circumstances and home goals. We’ll look at the benefits of part exchange below.

A faster move

It takes six months on average to buy and sell a home, depending on the chain, market conditions and financial situation. If you’re relocating and are against the clock, Part Exchange ensures a quicker sale and makes move-in day one step closer.

It’s not just the pressures of a quick move that appeals to sellers. The traditional selling process can come with a few bumps, from awkwardly negotiating with buyers, working with multiple parties and people just pulling out altogether. While it’s all worth that feeling of finally unlocking the door on your forever home, Part Exchange provides an easier route.

You may also have already embarked on your selling journey but are still looking for the right buyer. Part Exchange removes the hassle from the buying and selling process, guaranteeing a smooth sale without arranging viewings or liaising with multiple parties.

When selling your home, there’s usually a risk of your sale falling through. With Part Exchange, buying and selling are streamlined, turning the process into one transaction. We’ll buy your home, with you receiving funds from the purchase on completion day, so you can move into your new home quickly and easily.

We’ll then work with estate agents to evaluate and sell your current property, so all you have to do is concentrate on your new home. You could even be collecting your keys in a matter of weeks.

Less moving costs

As well as being able to buy a larger home, or move to a more expensive area, Part Exchange also makes moving more affordable by reducing the costs that usually come with buying a house.

Unlike the traditional process, you’re not doubling up on solicitors or valuations - we sort the surveys for your current house, so you only need a solicitor for your new build. You only need to focus on arranging your mortgage and the pre-and-post inspections for your Persimmon home. We’ll even cover the estate agency fees, saving you thousands of pounds as a result.

The Part Exchange scheme can also help cover your deposit. You can use the funds obtained from the sale of your old home, so you don’t need to worry as much about saving for a down payment. Any money you’ve saved can be used to turn your house into a home instead.

Managed by us

We believe in making your home buying journey as smooth and hassle-free as possible. This is why Persimmon is excited to offer a Part Exchange scheme - it’s a hassle-free way of securing your next home.

We’ll work with the estate agents on your behalf to arrange independent surveys on your current home, ensuring that you receive a fair deal. We can also recommend solicitors to represent you during the process, if you don’t already have one. make the process even easier and provides further peace of mind.

You’ll receive the same levels of customer service when reserving your new home. As part of our Persimmon Pledge, we’ll keep you informed about your new build every step of the way. You’ll be up to date with the construction process and even see fixings and fixtures, which - depending on the process of your build - you can personalise to fit you. You can inspect your home pre and post-completion, making sure that you’re 100% happy with your new build.

To kickstart this straightforward process, simply reach out to our sales advisors, and we’ll take care of the rest.

The cons:

As with every home buying scheme, part exchange isn’t for everyone. Depending on your circumstances, some elements of the scheme may deem you as ineligible, such as:

• Part Exchange is not available for first time buyers. You must already own a home to trade with another. However, there are plenty of other schemes available to help you step onto the property ladder, such as Deposit Boost, Unlock and Help to Buy (if in Wales).
• You must be the owner of your current home, and it needs to be in good condition. If your property is leasehold, then there should be at least 80 years left on the lease.
• Keep in mind that you may not receive full market value for your home - this will depend on the findings from the valuation. We will work with you to agree a price. If you’re still not sure about selling your home through Part Exchange, we also offer a Home Change scheme, where we’ll help you sell your home to an external buyer.
• You should also keep in mind that you’ll still need to pay reservation fees, as well as solicitor and conveyancing costs.

If you’re unsure whether part exchange is worth it or not, then speak to our team or a financial adviser, who can help you decide on what’s best for you and your family.