Self Build
'Self-build' is a fast-growing phenomenon in the UK. Over the last quarter of a century, the number of self-build projects being undertaken has increased more than ten-fold, from 2000 to 25000 per year. Fuelled by spiraling house prices and an ever-worsening shortage of land, it is a trend that looks set to continue.
There are many reasons for choosing to self-build. Most prospective self-builders see it as a great chance to achieve their dream property at a price far lower than any major home builder could offer. Cost savings can be as much as 30%, and financing for self-build projects has become much more straightforward in recent years. Further advantages include the opportunity to select the precise location of the house and have some input into the design, creating a unique property in your own image, to suit an individual lifestyle, and built to the very highest standards to which you can aspire. Self-build is a demanding but ultimately rewarding process, and a realistic goal for those with the passion and dynamism to make their dreams come true.
Self build projects vary enormously in terms of size and ambition, from small starter homes and retirement bungalows through to very large properties. The average self-build home is a four-bedroom detached house costing around 150 000 including land (1999). Self build tends to be more prevalent in less urban areas and in areas where the market for speculative house building is relatively small, although it is increasingly associated with wealthier, older buyers looking for an individual property in a particular location, as opposed to the traditional stereotype of young, first-time buyers who have been priced out of the mainstream housing market.
Self builders often attempt to incorporate unusual and innovative design features and techniques in their projects, although these can be constrained by planning requirements, inexperience and concerns over resale values.
Building a new home is a complicated process that begins long before the foundation is poured. Once you have planned your budget, found a lender and bought your lot, it is time to select a team of experts to help you complete the project. Although the greatest cost-savings are generally achieved by self-builders who undertake large amounts of the work themselves, it is perfectly possible to do a self-build without ever picking up a brick. In truth, “self-build” is something of a misnomer. Generally speaking, it is not for the amateur DIY enthusiast.
Hiring professionals may eat into your savings, but most people find it is a price worth paying. Indeed, many go as far as employing a project manager to oversee the handling of sub-contractors as well as architectural plans, planning permission and the ordering and delivery of materials. It is certainly worth weighing up the pros and cons of using a main contractor versus running the project yourself as a DIY contractor. Whichever option you go for, you should still try and maximize the amount of labour time you put in yourself, as labourers cost between £50 and £100 per day.
Here are some more cost-saving tips for the prospective self-builder:
- Think about beginning work in the winter when contractors are usually easier and cheaper to hire.
- Register as a self-build project before work starts and save all your receipts so that you can claim back all the VAT you pay on materials.