7 Things To Consider When Buying A New-Build Property

Purchasing a new-build home offers numerous advantages, including modern designs, energy efficiency, and the opportunity to personalise certain features.

However, it’s essential to approach this significant investment with careful consideration.

In this guide, we’ll share five key factors to keep in mind to ensure the purchasing process is as smooth as possible.

1. Quality and reputation of the developer

The quality of your new home is directly linked to the reputation of the developer. Researching the developer’s track record can provide insights into the standard of construction and customer satisfaction. Look for developers who are members of professional bodies such as the National House Building Council (NHBC), which sets standards for construction quality.

Additionally, consider seeking feedback from previous buyers and checking for any reported issues. For instance, some homeowners have reported construction deficiencies in new builds, highlighting the importance of choosing a reputable developer.

2. Energy efficiency and environmental standards

New build homes are often more energy-efficient than older properties, leading to potential savings on utility bills.

Modern construction standards typically include better insulation, double-glazing, and energy-efficient heating systems.

The UK government has introduced rigorous targets to improve the energy efficiency of new homes, aiming to reduce emissions by at least 75% by 2025 compared to current standards.

When evaluating a new-build, inquire about its Energy Performance Certificate (EPC) rating and any sustainable features, such as solar panels or heat pumps, which can further enhance energy efficiency.

3. Understand the premium price

New-build homes often come with a premium price tag compared to similar older properties. This is partly due to their modern features, energy efficiency, and the “newness” factor.

However, like a new car, the value of a new-build may depreciate slightly once you move in. Ensure you’re not overpaying by comparing prices with similar properties in the area.

You can negotiate with the developer—many are willing to include extras like upgraded fixtures or even offer a discount, especially towards the end of a sales phase.

If it’s your first time buying a property in the UK, don’t make the costly mistake of overpaying for a home, or worse – buying a home you can’t afford.

4. Location and community infrastructure

The location of your new home significantly impacts your lifestyle and property value. Assess the availability of essential amenities such as schools, healthcare facilities, public transport, and recreational areas.

The surrounding area matters as much as the home itself. Check local amenities, transport links, schools, and potential developments that might enhance or detract from the area’s value.

Many new-build developments are in up-and-coming areas. Research the area’s long-term potential by reviewing council plans or nearby infrastructure projects.

5. Financial incentives and government schemes

The UK government offers various schemes to assist homebuyers, particularly first-time purchasers.

These include the Help to Buy: Equity Loan, which provides a loan of up to 20% (40% in London) of the property’s value, and the Shared Ownership scheme, allowing buyers to purchase a share of the home and pay rent on the remaining portion.

It’s crucial to understand the eligibility criteria and terms of these schemes to determine their suitability for your circumstances.

6. Understand the purchase process

Buying a new-build often involves a different process than buying a second-hand home. You’ll typically need to reserve the property early in the construction phase and might face tighter deadlines for completing the purchase.

A mortgage offer is usually valid for six months, so ensure your lender can extend this if delays occur.

Consider using a solicitor experienced in new-build purchases, as they’ll understand the specific requirements and pitfalls.

Here is some info about the standard process of buying a property in the UK.

7. Snagging and aftercare support

Even with reputable developers, newly built homes can have minor defects or ‘snags’ that need addressing. A thorough snagging survey before moving in can identify issues such as poor finishes or faulty installations. The New Homes Quality Code, published by the New Homes Quality Board, aims to drive up the quality of new-build homes and strengthen protections for customers.

Ensure the developer provides a clear process for reporting and resolving snags and offers aftercare support. Understanding the warranty coverage, typically provided by organisations like NHBC, is also essential for long-term peace of mind.