Members of the Norwich & District Association of Estate Agents answer our top questions about buying a new build in Norfolk.
What are the main advantages of buying a new-build home?
New-build homes offer an opportunity to live a contemporary lifestyle, incorporating the latest technology, stylish new kitchens and bathrooms and layouts which reflect how people live today, according to Pete Ward of William H Brown.
“They are effectively blank canvasses, and offer the occupier an opportunity to adapt their home to the type of style they like," he says. "They are also far more energy efficient than older properties, which should translate into lower energy bills.”
Ease of maintenance is another plus, says Jan Hÿtch of Arnolds Keys. “If you have to invest all your savings into the deposit, you can be fairly certain that you’ll then have a worry-free few years with regard to maintenance and upkeep. For a first time buyer, a country cottage may be the dream, but the reality is older properties tend to be more expensive to upkeep, not to mention heat, aside from affording the mortgage every month.”
Are there any downsides to be aware of?
Pressure to complete the purchase quickly is cited by several estate agents as something to be wary of. “Often larger developers may insist on an exchange deadline, on average 28 days from the offer being accepted, which can put unnecessary pressure on purchasers,” says Alexander Parish of Whittley Parish.
Timing is also an issue for Kelly Tumilty of KT Estate Agents. “Even though there can be pressure to exchange within 28 days, sometimes the home is not ready, or the snagging is not completed by then,” she says.
Jan Hÿtch advises checking with the developers how outside areas are going to be finished. “Garden landscaping is expensive both in money and time, even if you DIY, and you could spend the first two summers picking bits of brick and rubble out from between the sparse blades of grass that weren’t eaten through the netting by the pigeons!”
Can when you buy (for example, just after launch, at the end of a phase) affect price? Is it possible to haggle?
Being one of the first or the last buyers on a site can earn you some advantage, according to Jan Hÿtch. “Developers will be keen to get the first few away, so they can tell prospective buyers that other people are reserving the plots, so you might be able to get a few incentives added in.”
But Alexander Parish reckons that being one of the last buyers on a site can also give you negotiating power. “Often the best time to try and haggle can be towards the end of the final phase of the development. Also, a lot of larger developers will give good incentives or reductions towards the end of the financial year, to reach their own internal sales targets.”
Will new buyers need to pay a reservation fee?
In most cases, yes, says Alexander Parish, who advises buyers to know what they are signing up to. “Be careful of the small print, and also if there are timeframe caveats attached. The reservation fee should be deducted from the deposit payable on exchange of contracts.”
There seem to be lots of different buying schemes available. Which are some of the best?
“Help To Buy and Help To Buy ISAs are a good way to get first-time buyers on the market if you don’t have a very big deposit,” says Kelly Tumilty. “But you will have to pay it back, and if the market prices increase, so will what you have to pay back.”
Other schemes are also available, says Jan Hÿtch. “Last summer the government launched The First Homes scheme, which enables first-time buyers in England to buy a new-build home at a discount of 30pc on market value. Then there’s the 95pc mortgage guarantee scheme, which allows first-time buyers to get a mortgage with a relatively small deposit, and with this scheme you won’t be limited to buying a new-build property, but can instead look at the resale market too.”
What does it mean to buy ‘off-plan’? Would you advise it?
“Buying ‘off-plan’ means committing to the purchase potentially even before they have broken ground, so you’re effectively buying on the strength of the picture or design plans in the new homes showroom,” explains Jan Hÿtch. “The advantages are that you will often have the opportunity to make small design or layout changes, and choose your kitchen or bathroom fittings, tiles and floor coverings etc.”
“In a rising market, buying off-plan could well be to a purchaser’s advantage. Committing to the market price at the point of offering rather than at the point of completion,” points out Alexander Parish.
“Before you commit, take your site plan to your estate agent or mortgage advisor to help you work out the pros and cons of which plot might be the best for you,” advises Jan Hÿtch. “Consider which side of the road it’s on, so will it get sun at the front or the back? What do the gardens back on to? Is the property at the head of the cul-de-sac facing the headlights of all the oncoming cars travelling down the road? How wide is the swing into ‘your’ parking bay – would the plot next door mean you could fit two cars in the driveway…”
What can you do if it doesn’t go to plan - such as a delay or lots of snagging issues once complete?
“Always ensure a site visit and viewing of the property is taken before exchange of contracts,” says Alexander Parish.
“Check the property, take a friend or family member with an independent approach, and thoroughly check everything, including the appliances. Draw up a snagging list and ideally don’t exchange until all snagging is resolved – this will put a time pressure on the developer, rather than just addressing the snagging list weeks or months after you have moved in. Take independent advice from your conveyancer.”
What kind of cover does a new-build warranty offer? Are all developers signed up to them?
Jan Hÿtch explains, “If the issue is more major than just cosmetic snagging, or you don’t know there’s a fault until after you move in, most new builds are guaranteed for ten years with a new-build or new home warranty, which is an insurance policy for newly-built properties. Even though they protect buyers of new-build homes from structural defects, they are taken out by the builder or developer, and require them to put things right if there are defects.”
Are there any must-see new developments coming to Norfolk soon?
Pete Ward of William H Brown suggests three new developments which are worth a look: The Sycamores in Wymondham, which comprises eight modular steel frame bungalows from the Fosse Group; Calthorpe House in Great Yarmouth, which is a boutique development of spacious apartments fashioned from an Edwardian-era school, by Grandstand Developments; and the second phase of Oaks Meadow in Acle from Crocus Homes.
Meanwhile Alexander Parish at Whittley Parish suggests that The Old Coopers in Aslacton is worth a look – it’s an exclusive collection of 14 individually-designed, high specification executive houses combining traditional design features with contemporary home comforts.
Jan Hÿtch at Arnolds Keys says that there are several great developments coming up in suburbs all around the city and county, with a wide range of different homes to suit local buyers of all ages, budgets and lifestyles.
“The development of the Broadland Northway has made accessible a whole raft of new homes sites in or near places like Rackheath, the Plumsteads, Taverham and Drayton. One in particular which comes to mind is a niche development in the village of Strumpshaw, coming to the market soon.”
To find out more about the Norwich & District Association of Estate Agents, including who they are and what they do, visit the new website at www.ndaea.co.uk
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