So, you’re thinking about buying a new build? Brilliant choice! Picture it: everything brand spanking new, that fresh paint smell, and no dodgy DIY jobs left by previous owners. But, like anything in life, there are pros and cons, and a process to navigate. Here’s the lowdown on buying a new build property.
The Pros: Why New Builds Are the Bees Knees
Everything’s New! No weird stains, no mysterious smells, and no ancient boilers that sound like they’re about to launch into space. Everything is fresh out of the box! Mortgage lenders will want a 10-year structural warranty on a new build, and developers will sell the homes with the warranty already in place. So, if anything goes wrong, it’s not on you – it’s on them. Score!
Energy Efficiency: New builds are designed to be energy-efficient, meaning lower utility bills. You can stay toasty in winter and cool in summer without paying through the nose. Plus, you can feel smug about your carbon footprint while sipping your organic, fair-trade coffee.
Customisation Options: Many developers let you choose finishes and fixtures. Want that fancy backsplash? Go for it! It’s like playing The Sims but in real life. Just don’t get too carried away – those upgrades can add up faster than you can say “designer faucet.”
Incentives and Financing Schemes: There are often financing schemes and incentives for new builds. Developers may offer shared ownership, where you buy a share of the property and pay rent on the rest. Usually, you can buy between 25% and 75% of the property’s market value, and in some cases you can buy a 10% share. These schemes are useful if you can’t afford to pay a deposit on the full price of the home. With shared ownership, you will need a smaller deposit as you only pay a deposit on the portion that you buy. You can also open a Lifetime ISA to help you save for a deposit for your first house. The maximum you can save is £4000 per year, and the government will add a 25% bonus to your savings, up to a maximum of £1,000 per year. Make sure to research these schemes in detail to make sure you are eligible.
The Cons: Things to Watch Out For
The Price Tag: New builds can be pricier than older homes. You’re paying a premium for everything being new and shiny. It’s like buying a brand-new car – the minute you drive it off the lot, it starts to depreciate. Ouch!
Potential Delays: Construction delays happen. Quite a lot. If your dream home isn’t quite finished on time, you might find yourself in moving limbo. Perfect time to move back in with the folks and enjoy some home-cooked meals, right?
Settling Issues: New builds can “settle” over time, which might lead to minor cracks or adjustments needed. Keep a close eye and report any issues during the warranty period. Think of it as your home going through its awkward teenage years.
Limited Character: New builds can sometimes lack the character and charm of older properties. But hey, less charm means fewer creepy old attics!
The Process: How to Secure Your New Build Palace
Research and Visit: Start by researching different developers and visiting show homes. It’s like speed dating but with houses – find the one that makes your heart sing.
Get Your Finances in Order: Check out your mortgage options and see if you qualify for any financing schemes like Shared Ownership, 5% deposit schemes or the £5k deposit mortgage.
Reserve Your Plot: Once you’ve found “the one,” you’ll need to reserve your plot. This usually requires a reservation fee. Think of it as putting a ring on it – you’re officially off the market!
The Paperwork: Here comes the fun part – the paperwork! You’ll need to exchange contracts and pay your deposit. At this point, the property is legally yours. Have a good solicitor on hand to help you navigate the legal jargon. They’re worth their weight in gold.
Wait for Completion: If the property is still being built, you’ll need to wait for it to be completed. This is the perfect time to start Pinterest boards for every room.
Final Inspection and Move-In: Once it’s ready, you’ll do a final inspection (a “snagging” list) to make sure everything’s perfect. Then, it’s time to move in and pop that champagne! Top Tip: Document everything during your inspection. Your future self will thank you.
Buying a new build home in the UK can be an exciting and rewarding journey, with plenty of perks and a few challenges along the way. Happy house hunting, and may your new build be everything you’ve dreamed of and more!