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Why House Builders Year End Matters
Most house builders have their financial year end or publish their half-year results at the end of December. For new-build property owners with upcoming completion dates this rush to meet the end of year deadline can lead to less thorough fault checking and slips in finishing standards from your house builders.
Alongside the end of the financial year in early April, many house builders also publish their full or half-year results at the end of December. These are crucial dates for property developers (and their shareholders) as they report on how many homes they have built, sold and profits over the period. Many regional offices and employees within the company will also have bonuses reliant on these figures so there is great pressure to ensure targets are met.
For new-build property owners with completion dates set during these periods the rush to meet the end of year deadline can lead to less thorough fault and defect checking from your house builders. Reduced finishing time or forced drying out can also lead to cracking in rendering or corners being cut on painting, caulking and sealing.
As former site managers on new-build properties Premier Snag know precisely what areas to triple check when inspecting properties in the run up to builders year end periods. Our appointment schedule always fills up fast due to the large number of properties completing during November/December and March/April. We recommend booking your inspection as early as possible to avoid disappointment and be sure any faults can be identified before your hand over date.
Book a visit from our independent property inspectors for only a £50 deposit and choose a preferred date with ease from our simple online appointment booking system.
Tips for a Smooth Move into your New Home
Buying a new-build has the added excitement of a completely fresh and unlived in space becoming all yours but the moving process still requires a great deal of planning to ensure it goes as smoothly as possible. Keep our tips in mind when you’re planning your move and during the process itself too.
We regularly hear that moving to a new house can be the most stressful and difficult experiences of our lives, so anything which can make it easier should be taken advantage of. Buying a new-build has the added excitement of a completely fresh space becoming all yours, but the moving process still requires a great deal of planning to ensure it goes as smoothly as possible. Keep our tips in mind when you’re planning your move and during the process itself too.
Steps Before your Move
Before you move in there are many things you can set in motion so you’re ready for when the big day comes. Some of these steps can be organised when completion is nearing, whereas others may need to take place when you have the exact moving date chosen:
Get your snagging survey booked in – the professional snagging survey is your opportunity to have any problems in your new home ironed out before you move in. Some developers allow snagging inspections to take place before completion but it isn’t always the case, so be prepared to get it booked in as soon as possible.
Measurements – make sure you take measurements when visiting the property during the development process or during your handover. You can then begin to select furniture and plan what is going to go where.
Organise utilities – it can take a couple of weeks to organise an engineer to fit broadband or to change to your preferred utilities companies so once you have a move-in date it’s time to start the process.
Redirect your Post – the Royal Mail can arrange for your post to be redirected for as long as you need, from as short as three months, and it can help ensure you don’t miss any mail before you change your addresses with all relevant bodies.
On completion you should make sure you have copies of all relevant paperwork and keep this safe. You need to make sure you have your new home policy and warranty documents, your lease if it’s a leasehold property and any service charge information if applicable.
Plan your Packing
The earlier you begin packing, the easier it is to manage. This can be one of the most overwhelming parts of the moving process so take time over it. You can acquire boxes from the local supermarkets or buy them online.
When it comes to removals companies you can choose to work with professionals or call upon the help of friends and family and hire a van. Compare quotes for removal companies to ensure you’re getting the best deal and some may even provide boxes and packaging if you want them to.
Label boxes per room, and also what is held in the box, as this will make a huge difference when you or your removals company are putting the boxes in your new home and when you come to unpack.
Make the Most of your Handover
With a brand-new home, you will have the opportunity to have an official handover or a “new home demonstration” which gives you a chance to meet up with the developer again. Your developer will show you around the home, show you how to use various elements such as the heating, the boiler and the location of the fuse box and other essentials. They should make sure you have a full understanding of how anything in your new home works and if appliances are supplied, you should be given all manuals and relevant documentation.
The handover is also your chance to check your new home and be sure everything is as advertised. If you have already received a detailed snagging inspection report you can double check any issues found have been rectified. If you’ve yet to complete a snagging survey be sure to take photographs and notes of any obvious issues you find. Tell the builder to fix any problems you’ve found before your official moving day and follow up with development company, not just the representative showing you around.
When The Big Day Arrives…
When it’s finally moving day there are still a few administrative tasks to keep in mind. First, be sure you’ve packed a bag or box of essentials you want to keep to hand. Moving day can be long and stressful so your essentials may include drinks, snacks, important paperwork and other things such as your ID and a change of clothes.
Once you’re in, you should also triple check every element of the home to be sure everything is in perfect working order. If you spot any issues you can cross reference your snagging inspection report to remove any chance of you, or your removals company, being blamed for any small snags, dents, scratches or similar. Also be sure to check your meters and take readings to ensure they’re at zero. Then it’s time to relax!
Moving into a brand-new home is such an exciting step and if you can remove some of the stress in the early days, you can start enjoying your new life and home even sooner.
For maximum peace of mind when moving into a new-build property our Premier Platinum Package can help ensure all snagging and settlement issues are addressed. Our inspectors will visit your property on completion and follow up with an additional audit to check all repairs have been addressed by your house builder. A further inspection at 18 months will ensure any settlement issues can be fixed before the end of your standard 2 year warranty period.
Exploring Government’s Schemes for First-Time Buyers
There are a range of schemes suitable for first-time buyers and it is important to understand them properly before to see which is the best fit for your circumstances. Each has its merits and may suit your individual circumstances and we’re looking more thoroughly at the different options to consider here.
The moment you are ready to buy your first home can be extremely exciting but there are also big decisions to be made. Even when you’re just thinking about that first move, you need to look at the different options open to you and whether there is government support to help you purchase your first home. There are a range of schemes suitable for first-time buyers and it is important to understand them properly before to see which is the best fit for your circumstances. Each has its merits and may suit your individual circumstances and we’re looking more thoroughly at the different options to consider below.
Help to Buy Scheme
The government’s Help to Buy scheme has gained a lot of media attention since its launch and it is a popular way of getting onto the property ladder. It aims to help first-time buyers take that first exciting step into property ownership and works as a form of equity loan.
The government will provide a loan of up to 20% of the cost of your chosen home, allowing you to work on raising just a 5% deposit. A 75% mortgage will make up the rest of the property purchase and as your government equity loan counts as part of your deposit, it may be easier to get a mortgage. It also allows you to avoid taking out a hugely expensive 95% mortgage.
There are different rules in place for London, where first-time buyers can access a Help to Buy loan of up to 40% to reflect the increased property prices in the city.
Eligibility for the Help to Buy Scheme includes several factors:
You must be over 18 years old
You must have a 5% deposit available
You must be able to take out a mortgage for at least 25% of the full property price
You must be able to provide proof you can afford the mortgage repayments and outgoings for your potential new home
You are not already a homeowner or will have sold your current home before or by the completion point of the Help to Buy property
Another key thing to remember is that Help to Buy loans are only available on specific developments where Home England have a registration agreement in place with the builders. The loans are only available for new build properties valued at under £600,000.
Lifetime ISAs
Lifetime ISAs are one of the most tax efficient ways of saving, making them popular with first-time buyers. The government supported scheme sees them contributing £1 for every £4 you save, allowing you to gain up to a maximum of £1,000 a year from the government’s contributions. The bonus is added at the end of each financial year and you can then earn interest on your bonus cash. There are some rules attached which you may want to keep in mind when considering this payment method including:
You must be over 18 and under 40 when you open your lifetime ISA
Bonus payments are only made until you reach the age of 50
Money can be used to buy a first home at any time, or it has to remain in the account until you are over 60
You can make payments into your ISA account until you turn 50
The scheme currently allows you to save a maximum of £128,000 from 18 to 40 and the government contributions will add another £32,000. This is if you utilise the whole length of the ISA but you are not obliged to do so. Withdrawing money from the ISA for any other purpose than buying your first home, or once you reach over 60, will incur a 25% charge so it is something you’ll want to consider carefully.
Shared Ownership
Shared ownership schemes allow you to own up to three-quarters of your chosen property in the first instance. You can buy between 25% and 75% initially with the option to buy a bigger share available at a later date in most instances. They are a great way of getting your foot on the ladder when you can’t afford to buy a home outright.
Shared ownership eligibility depends on where in the United Kingdom you live. In England eligibility criteria include:
People who rent council or housing association property
First-time buyers or former homeowners who can’t afford one outright now
People who have a combined household income of less than £80,000
Military personnel are given priority over other applicants in this scheme and there is also a further specialised Older People’s Shared Ownership Scheme for anyone aged over 55.
Anyone interested in these kinds of schemes can find out more via their local Help to Buy agents. The Housing team in your area should be able to let you know if it is available and whether you are eligible. You will also need to find a mortgage lender who will give you a mortgage for this type of scheme, not all are willing to offer loans on shared ownership properties.
First Homes Discount
This flagship programme from the government was initially announced in February 2020 and will be rolled out in 2021. First-time buyers will be given the chance to buy a new build property with a 30% discount, which equates to an average saving of close to £100,000.
The First Homes Discount scheme will allow buyers to not only pay less for their homes as a whole, they’ll also need to raise a lower amount of deposit, which may make it easier to save and meet the affordability requirements of mortgage providers. The other important thing to remember about this scheme is that the discount is locked into your property so as and when you decide to move, the house will have to be sold with a 30% discount on its market value.
The government wants this scheme to help in high demand areas and specifically help keyworkers, such as nurses, police officers and teachers, as well as military veterans. The scheme will be open to people from other backgrounds, but this is the initial focus. So far there is no roll-out date for this scheme, but it will be surely popular once it is launched.
There are a range of government schemes to support potential homeowners, whatever their circumstances might be. This ensures that as many people as possible are able to find and purchase their dream home in an affordable way.
What to Remember when Buying a New Build Home
We list the key points of buying a new build home.
When buying a new home remember these points below:
View other properties the same developer has previously built.
Check the Home Builders Federation (HBF) Rating.
View the show home
Employ a snagging expert to carry out a full inspection on your property to ensure it is professionally inspected. This will give you piece of mind.
Do not return the NHBC survey until you are happy with your home