Struggling to get on the property ladder? The continued rise of the New Build Home

A row of new terraced houses

How we can help you purchase your New Build Home

With property prices rising year on year, it is no surprise that many of us struggle to get on the property ladder or move to a bigger home. In May 2016, the Government promised to deliver over a million new homes by 2020. Whilst some argue this is not possible, we have seen an increase in the number of New Build homes available and in 2017, over 160,000 New Build homes were registered to be built.

So why are New Build homes so popular?

At DF Legal, we have seen a rise in the number of New Build homes being purchased. There are a number of reasons for this, the main reasons being affordability and flexibility in the pricing structures available.

Affordability

First, there is no requirement for major renovations to be carried out (in fact, these are often restricted) so there is no additional cash that needs to be spent on the home before you move in – it is ready to go!

Second, there are a number of schemes available for New Build homes such as the Help to Buy Mortgage Equity Scheme and Help to Buy ISA which make New Build homes an affordable and great option for those looking to make their first step on to the property ladder. The Help to Buy ISA is only available for first time buyers but both schemes can help you make that leap on to the property ladder where your mortgage isn’t quite enough. Do contact us if you want some advice on the scheme available and how these work.

We also suggest approaching the developer to see if you can get any incentives added to your deal. We have seen upgrades to the property being included, as well as a contribution to SDLT (though, please note the recent changes to SDLT for first time buyers).

Finally, New Build developments are also required to have a percentage of “affordable housing” units on the development which can include shared ownership housing – which is also becoming increasingly popular and is more affordable. For details on how Shared Ownership works, do feel free to contact us.

How we can help you

Do remember, when you reserve your New Build home, the developers will set a deadline for an exchange after which the property is not guaranteed to be sold to you. We have dealt with several New Build properties and understand there are occasions where these deadlines cannot be met, especially where there is a delay with your searches or other unforeseen circumstances. We are able to assist with approaching the developer and keeping them informed as to the progress .

Also, if you are selling your current home in order to purchase your New Build home, you may not be given a fixed completion date which can come with it’s own set of issues where your buyers want to move in before your New Build is ready. We are able to liaise with the chain to find an arrangement that is suitable for everyone.

We have experience in making the transaction as seamless as possible so do let us help you! If you are a first time buyer or you have any other queries about buying a New Build home, please do not hesitate to contact Catherine Booton for some free initial advice at cbooton@dflegal.com or call anyone of our local offices.

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