A new report from TSB has revealed that 41% of UK homeowners would prefer to build an extension than move house after changes in planning law.
However, the research found that 80% of people thought the change in regulations will make disputes within neighbourhoods more likely, with four in five (79%) saying they thought that people would have their view spoilt by new extensions.
In May 2019, thousands of homeowners were given the green light to extend their properties without planning permission, meaning that homeowners are now able to improve and add value to their existing home through rear extensions. This means that families who are running out of space in their home will be able to extend their house to create space for their family, rather than move.
As a result of this change in the law, new research from TSB reveals that one in five (19%) homeowners are now more likely to build a rear extension in the next three years. Some of the top reasons for building an extension instead of buying a new house include:
1) Attachment to their current house (50%)
2) The cost of moving is too expensive (49%)
3) The locality is better than anywhere else (25%)
TSB’s research also explored how homeowners would pay for their extensions. Over a third (35%) said that they would consider re-mortgaging their home in order to afford the extension, which was a particularly popular option for over half (54%) of 18 to 34-year olds.
Nick Smith, TSB’s Head of Mortgages said, “It’s no surprise that homeowners cite the cost of moving as one of the biggest barriers to affording a new home or moving up the property ladder. Building an extension is a great way to add extra space without having to undertake the additional costs such as stamp duty and legal fees.
“That is why TSB offers a range of different mortgage and lending options aimed at a wide variety of homeowners. Planning ahead is vital so make sure that you get the best rate possible for your individual circumstances and consider how much it will cost you in the long-term.”
James Ginley FRICS, Technical Director, Legal & General Surveying Services said, “Where space is at a premium quite simply adding floor area adds value. However, good design, layout and functionality of homes is increasingly important. Home buyers want the space but tasteful extensions and modern open plan living areas offered by extensions are value generating.”