Navigating the Autumn Statement: Mortgage Broker Surrey Advice

The unveiling of Chancellor Jeremy Hunt's 2023 Autumn Statement heralds significant shifts in the UK's fiscal terrain, with implications that extend into the housing market and, by extension, mortgages. As a trusted mortgage broker in Surrey, we understand the importance of distilling these government announcements into practical advice for our clients. This comprehensive guide aims to dissect the changes set forth by the Autumn Statement, elucidating their direct impact on various aspects of homeownership and property investment.

From tax adjustments to spending plans, the Statement outlines a series of measures that will influence household incomes and spending power. For potential and current homeowners, as well as those pondering investment in property, the ramifications on mortgage affordability, availability, and strategy are substantial. Whether you're taking the first step onto the property ladder, looking to remortgage, or managing a portfolio of properties, informed decisions begin with understanding the economic environment shaped by these latest government plans.

In the paragraphs that follow, we provide our mortgage broker Surrey advice, tailored to address the concerns and opportunities that the Autumn Statement presents. Our goal is to empower you with knowledge—translating policy into practice—so that you can navigate the evolving mortgage landscape with confidence and clarity.

Overview of the 2023 Autumn Statement's Impact on Mortgages

The recent Autumn Statement delivered by Chancellor Jeremy Hunt has introduced a series of economic measures that stand to affect the UK housing market. For those seeking mortgage broker Surrey advice, it’s essential to understand how these fiscal changes may influence your mortgage options and financial planning.

Taxation and Wages

Firstly, the cut in the main rate of National Insurance from 12% to 10%, effective from 6 January, is a change that will touch the pockets of 27 million people. For prospective homeowners, this reduction could translate into greater disposable income, potentially increasing mortgage affordability. Similarly, self-employed individuals will benefit from the abolition of Class 2 National Insurance and the reduction of Class 4 National Insurance, which may ease the financial burden and aid in mortgage qualification.

National Living Wage Increase

Moreover, the rise in the legal minimum wage to £11.44 an hour could have far-reaching effects. This increase puts more money into the hands of potential buyers, particularly younger individuals who will now receive this rate from the age of 21. This demographic shift could invigorate the first-time buyer market, as increased wages may bolster mortgage applications.

The Bottom Line

Understanding these changes is crucial in planning your next steps, whether you’re saving for a deposit or budgeting for future mortgage repayments. The adjustments in taxation and wages can impact lenders' criteria and the amount you may be able to borrow. As a seasoned mortgage broker in Surrey, we are poised to offer detailed advice on how these changes could benefit your specific circumstances, ensuring you're well-prepared to make informed decisions in this new economic landscape.

In the following sections, we’ll delve into what these adjustments mean for different types of buyers and how to best position yourself for success in the Surrey property market.

First-Time Buyers – What You Need to Know

For first-time buyers in Surrey, the Autumn Statement introduces both opportunities and considerations that could significantly influence the journey to homeownership.

Increased Purchasing Power

The reduction in National Insurance contributions may offer first-time buyers a slight increase in their net income, potentially enhancing their borrowing power. This financial relief can be strategically allocated towards a larger deposit, reducing overall loan-to-value ratios and possibly securing more favourable mortgage rates.

Understanding the Market

With the National Living Wage seeing an increment, there is an optimistic outlook for those entering the workforce or already earning at this threshold. However, it's important to remember that higher wages can also lead to increased competition for properties within certain price brackets. This may impact property prices over time, making it crucial to assess the market and understand how these economic shifts could affect property values in Surrey.

Navigating Changes

The Autumn Statement’s measures have reframed some of the financial fundamentals, necessitating a reevaluation of your mortgage strategy. As a mortgage broker offering Surrey advice, we emphasise the importance of getting pre-approved for a mortgage to understand your budget fully. Additionally, consider how the changes might affect your eligibility for schemes designed to help first-time buyers, such as Help to Buy.

Tailored Advice for First-Time Buyers

Our role is to provide tailored advice that aligns with these financial changes. We can assist you in calculating how the revised National Insurance and Living Wage rates may affect your mortgage application, ensuring you approach lenders with a robust financial profile.

First-time buyers can look to the future with a degree of optimism, bolstered by the support of informed mortgage broker Surrey advice, to navigate the post-Autumn Statement landscape. In the next section, we'll explore what current homeowners need to consider in light of these fiscal adjustments.

Current Homeowners – Changes in Mortgages and Remortgaging

Current homeowners in Surrey are facing a changing financial climate post-Autumn Statement, with several key factors to consider when it comes to their mortgages or decisions to remortgage.

Adapting to New Conditions

The tax reductions announced may result in increased disposable income, providing an opportunity for homeowners to overpay on their mortgages, thereby reducing the total interest paid over time. However, it's essential to check with your lender if there are any penalties for overpayment under your current mortgage terms.

Remortgaging Considerations

For those considering remortgaging, the present economic environment, influenced by the Autumn Statement, could be opportune. With potential savings from lower National Insurance rates, you might find yourself in a better position to negotiate a more competitive deal, especially if your home's value has increased since your last mortgage agreement.

Interest Rates and Borrowing

While the Autumn Statement doesn't directly set mortgage interest rates, its policies can influence the economic factors that affect these rates. For instance, if the measures lead to increased spending and inflation, the Bank of England may adjust the base rate accordingly, which in turn impacts mortgage rates. As your mortgage broker offering Surrey advice, we can help you lock in a favourable rate before any potential rises.

Mortgage Broker Surrey Advice for Homeowners

Our advice for homeowners is to consider a financial review in light of the Autumn Statement. This could identify whether remortgaging now could be beneficial or if it's better to wait. Additionally, we recommend consulting with a mortgage broker to understand the new tax implications fully and to strategise your next move, be it sticking with your current mortgage or exploring new options.

The Autumn Statement has set the scene for strategic financial planning. For current homeowners, staying informed and seeking expert mortgage broker Surrey advice can ensure that they remain well-positioned to adapt to these changes effectively.

Property Investors and Landlords – Taxation and Mortgage Implications

For Surrey-based property investors and landlords, the Autumn Statement's tax adjustments and spending pledges are of particular interest, with direct consequences for the buy-to-let market.

Tax Breaks and Business Rates

The permanent 'full expensing' tax break for companies, which allows the immediate deduction of costs on new machinery and equipment from profits, could signal good news for property investors looking to improve their rental properties. Additionally, the extension of the 75% business rates discount for retail, hospitality, and leisure sectors may benefit landlords in these industries.

Rental Market Dynamics

Landlords will need to navigate the changes with a strategic mindset, especially considering the increase in Local Housing Allowance rates. This could potentially raise the rental floor in many areas, providing landlords with an opportunity to reassess their rental prices. However, with increased rates, the expectations for property standards may also rise, necessitating potential property improvements to attract tenants.

Mortgage Considerations for Investors

The changes in National Insurance may also impact landlords who operate as self-employed individuals. With reduced rates, there may be more scope for investment into properties or additional capacity to absorb any increases in mortgage payments should interest rates rise.

Seeking Expert Advice

In this evolving economic landscape, it's wise for property investors and landlords to seek expert mortgage broker Surrey advice. A comprehensive review of your portfolio in light of the Autumn Statement will be indispensable. As specialists in the Surrey property market, we can provide insights into how these fiscal changes can be harnessed to optimise your investments and prepare for future market shifts.

As we continue to dissect the Autumn Statement, in the next section, we will turn our attention to the implications for renters aiming to transition into homeownership, particularly in the context of Surrey’s property market.

Renters Turning Homeowners – What's Next?

The transition from renting to owning is a significant milestone, and the Autumn Statement has paved new avenues for potential homeowners. Here’s what renters in Surrey need to know:

• Budgeting for a Mortgage: With the announced increase in the National Living Wage and changes in taxation, renters may find themselves in a better position to save for a deposit. Use these changes to reassess your savings strategy and budget with an eye toward homeownership.

• Mortgage Affordability: The changes in personal taxation could impact your mortgage affordability positively. It's a good time to re-evaluate your finances and consider speaking to a mortgage advisor about your buying potential.

• Plan Ahead: While the economic landscape is changing, the fundamentals of buying a home remain the same. Start preparing your financial documents early, check your credit score, and explore different mortgage options available to you.

Transitioning to homeownership is an exciting journey, and understanding the implications of the Autumn Statement can set you on the right path. For personalised advice, our Surrey mortgage experts are here to help every step of the way.

As we navigate through the financial shifts brought about by the 2023 Autumn Statement, the importance of expert guidance cannot be overstated. For first-time buyers, homeowners, investors, and landlords alike, these changes present both challenges and opportunities within the Surrey property market.

Our focus as a mortgage broker providing Surrey advice is to ensure you are equipped with the knowledge to make well-informed decisions. Whether you're buying your first home, looking to remortgage, or expanding your investment portfolio, we're here to offer tailored advice that aligns with the latest economic policies.

We invite you to reach out for a detailed discussion on how the Autumn Statement can impact your specific circumstances and to strategise your next move in the property market. Together, we can turn these new measures into positive outcomes for your property aspirations.

UK Homeowners' Guide to Common Winter Home Issues

Winter in the UK brings with it the charm of potential snowy scenes, cosy fires, and warm jumpers. However, as the cold sets in, homeowners often encounter a series of challenges. From the annoying drafts to the dreaded damp patches, the winter months can test the resilience of even the most well-maintained homes. This guide aims to shed light on common winter home issues UK residents face, providing insights and solutions to ensure your home remains warm and problem-free throughout the frosty season. Whether you're a first-time homeowner or have braved many winters, there's always something new to learn about keeping your home in top shape during the chilliest time of the year.

Why Winter Presents Unique Challenges: Understanding Winter Homes in the UK

The UK winter, with its unique blend of wet, cold, and often unpredictable weather patterns, poses a set of challenges to homeowners that are quite distinct from those experienced in other seasons. But what is it about these conditions that exacerbate common winter home issues?

The sudden shift from wet to freezing conditions can have detrimental effects on a home's infrastructure. Water that seeps into cracks and crevices can freeze, leading to expansion and causing further damage, whether it's in the brickwork, piping, or roofing.

Then there's the prolonged dampness. The UK's winter isn't just cold; it's often wet and humid. This consistent moisture can lead to mould and mildew problems, especially in homes that are not adequately ventilated. Damp conditions, combined with the reduced sunlight of shorter days, create the perfect breeding ground for these unwelcome guests.

Additionally, the frequency of storms and gales during the winter months can test the structural integrity of homes. Roofing tiles, fences, and garden structures can easily become casualties of these harsh weather conditions.

It's also worth noting the strain on home energy systems. With reduced daylight hours and colder temperatures, households are more reliant on artificial lighting and heating, which can not only drive up energy bills but also highlight any inefficiencies or faults in a home's electrical or heating systems.

In essence, the climatic conditions of a UK winter push homes to their limits. As a homeowner, understanding these challenges is the first step in mitigating their effects and safeguarding your property against the common winter home issues they can cause.

The Five Main Culprits

As temperatures drop and the elements become harsher, many homes begin to show signs of strain. Let's delve into some of the most common winter home issues that UK residents face.

1. Damp and Mould Growth: The persistent wet weather and reduced ventilation opportunities during winter make dampness a typical problem in UK homes. When moisture lingers, it can lead to mould growth, which not only damages surfaces but can also pose health risks. Especially vulnerable areas include bathrooms, basements, and any poorly ventilated spaces. Regularly checking for signs of moisture and ensuring proper ventilation can help counteract this issue.

2. Frozen and Burst Pipes: A sudden drop in temperature can freeze the water inside pipes, causing them to expand and potentially burst. This can result in significant water damage and costly repairs. It's crucial to insulate exposed pipes, especially those outside or in unheated areas of the home, to prevent this common winter home issue.

3. Roof and Gutter Damage: Snow and ice can accumulate on roofs, adding extra weight and strain. When this snow melts, it can refreeze in gutters, causing ice dams that prevent proper drainage. This can lead to water seeping into the home or damaging the gutters and roof itself. Regularly clearing snow and checking for ice dams can help prevent these problems.

4. Drafts and Insulation Problems: The cold winter winds can quickly highlight any gaps in a home's defences, with drafts making rooms chilly and increasing heating costs. Windows, doors, and loft spaces are common culprits. Ensuring homes are well-insulated and sealing any gaps can make a significant difference in comfort and energy efficiency.

5. Boiler and Central Heating Malfunctions: Boilers and heating systems are under increased pressure during the cold months, working overtime to keep homes warm. This can highlight underlying issues or create new ones if systems aren't regularly serviced and maintained. Annual checks and services can help ensure they run smoothly throughout winter.

Being proactive and addressing these home issues early can save homeowners time, money, and a lot of stress. A well-maintained home not only stands up better to the challenges of winter but also provides a safer and more comfortable environment for its inhabitants.

Tips to Prevent Common Winter Home Issues

With a little preparation, you can safeguard your home against the majority of common winter issues. Let's dive into some preventive measures that can help you enjoy a trouble-free winter season.

1. Combat Dampness and Mould:

   • Ventilate: Ensure rooms, especially bathrooms and kitchens, are well-ventilated. Use extractor fans or open windows for a short period daily.

   • Dehumidifiers: Consider using a dehumidifier in problem areas to reduce excess moisture.

   • Regular Checks: Inspect walls, especially in basements and lofts, for any early signs of dampness or mould and treat them promptly.

2. Protect Against Frozen and Burst Pipes:

   • Insulate: Wrap exposed pipes in insulation or use heating tapes.

   • Dripping Taps: In extremely cold weather, let your taps drip slightly to keep water moving and prevent freezing.

   • Main Stopcock: Know where your water main stopcock is in case of a burst pipe.

3. Guard Your Roof and Gutters:

   • Regular Inspections: Before winter sets in, inspect your roof for any damages or potential weak spots.

   • Gutter Cleaning: Ensure gutters are clear of leaves and debris to facilitate smooth water flow.

   • Trim Trees: Cut back any tree branches hanging close to the roof to prevent accumulation and potential damage.

4. Tackle Drafts and Improve Insulation:

   • Draftproof: Use draftproofing around doors and windows to seal any gaps.

   • Loft Insulation: Ensure your loft or attic is well-insulated to prevent heat loss.

   • Curtains and Rugs: Thick curtains and rugs can add an extra layer of insulation and keep your rooms warmer.

5. Maintain Your Boiler and Heating System:

   • Annual Service: Schedule a professional service for your boiler before winter starts.

   • Bleed Radiators: Ensure radiators are working efficiently by bleeding them to release any trapped air.

   • Emergency Numbers: Keep the number of a trusted plumber or heating engineer handy in case of unexpected malfunctions.

Proactive care can make all the difference in preventing common winter home issues. By taking these steps, homeowners can ensure their property remains a safe haven throughout the frosty months. Remember, a stitch in time saves nine – especially when it comes to maintaining our homes during the cold season.

Addressing and Repairing the Damage

While preventive measures are essential, the reality is that sometimes, despite our best efforts, winter-related damages occur. Recognising these common winter home issues and addressing them swiftly can save homeowners both time and money. Here are the remedies for the typical challenges winter might throw your way:

1. Dampness and Mould Growth:

   • Identification: The first step is recognising the problem. Look out for dark or discoloured patches on walls, ceilings, and even furniture.

   • Clean Up: Use a mould and mildew remover (available at most hardware stores) or a homemade solution of equal parts water and white vinegar. Always wear gloves and ensure the area is well-ventilated.

   • Prevent Recurrence: Once cleaned, use a dehumidifier or moisture absorbers to keep the area dry.

2. Frozen and Burst Pipes:

   • Thawing Frozen Pipes: Use a hairdryer, hot water bottle, or heated cloth, working from the tap towards the frozen area. Never use open flames.

   • Handling Burst Pipes: First, shut off the water supply to prevent further damage. Then, call a professional plumber to assess and repair the damage.

3. Roof and Gutter Damage:

   • Roof Repairs: For minor issues, such as replacing a few tiles, you might handle it yourself if you're comfortable. However, for more significant damage or leaks, it's best to consult a roofing specialist.

   • Gutter Maintenance: If your gutters are blocked or damaged, remove debris and consider using a gutter repair kit or calling in a professional.

4. Drafts and Insulation Problems:

   • Sealing Gaps: Use caulk or sealant for any cracks or gaps in your doors and windows.

   • Replace or Repair: Sometimes, the best solution for old, drafty windows is a replacement. Consider double-glazed windows for better insulation.

5. Boiler and Central Heating Malfunctions:

   • Initial Checks: Ensure the boiler has power and the thermostat is set correctly. Sometimes, the solution is as simple as reigniting the pilot light or resetting the system.

   • Professional Help: If you're unsure or the problem persists, it's crucial to get a heating engineer involved. Regular servicing can help prevent many common issues.

The key to dealing with any common winter home issues is prompt action. The sooner you address the problem, the easier (and often cheaper) it is to rectify. Armed with this knowledge, homeowners can face the winter months confidently, knowing they're well-equipped to handle any challenges that come their way.

Conclusion

Winter, with its crisp mornings and cosy evenings, can be a season of joy and celebration. However, it's also a time when our homes are tested by the elements. As we've explored, a range of common winter home issues can arise during these colder months. By being aware of potential problems and taking proactive measures, homeowners can prevent many of these challenges. And, if issues do emerge, quick action combined with the right knowledge can make all the difference. So, as the temperature drops and the nights draw in, let's ensure our homes remain the safe and warm sanctuaries they should be, no matter what winter throws our way.

Understanding Bank of England Interest Rates: What Lies Ahead for Borrowers

Understanding Bank of England Interest Rates: What Lies Ahead for Borrowers

In the intricate world of finance, few factors hold as much sway over the economic landscape as central bank interest rates. For homeowners and potential buyers, these rates significantly impact the cost of mortgages and, consequently, the health of the property market. In this blog post, we'll delve into the workings of the Bank of England interest rates, their historical context, and speculate on what the future might hold for borrowers.

Bank of England Interest Rates

The Bank of England sets the base interest rate, often referred to as the Base Rate. This rate influences borrowing costs across the economy. When the Base Rate is low, borrowing is cheaper, encouraging spending and investment. Conversely, when the rate is high, borrowing becomes more expensive, curbing inflation but potentially slowing economic growth.

Historical Context

Looking back over the last decade, we see a significant trend of low-interest rates. Following the 2008 financial crisis, central banks worldwide, including the Bank of England, adopted a policy of low-interest rates to stimulate economic recovery. For many years, borrowers benefited from historically low mortgage rates, fostering a booming housing market.

The Impact of COVID-19

The COVID-19 pandemic sent shockwaves through the global economy. Central banks responded with unprecedented measures, slashing interest rates to historic lows to cushion the economic fallout. For mortgage borrowers, this meant even lower rates, making property ownership more accessible for many. In fact here in the UK we experienced the lowest rate on record when it was down at 0.1% leading to mortgage deals of sub 1% for a period of time. This certainly led to a short period of house price growth after the first national lockdown in 2020, on top of this there was a stamp duty holiday enabling certain transactions to go through without the extra burden of paying stamp duty.

Future Speculation: What Might Happen?

Since early 2022 the Bank of England have raised interest rates on each of their meetings except the last. The base rate now sits at 5.25% and the reasons for the rise over the past year or so has been blamed on inflation. Many people feel (me included) that the inflation was actually partially caused by the Bank of England in the first place by the vast amount of quantative easing they did during the pandemic years. On top of this we have a war in Europe for the first time in 80 years and this has put a strain on the supply of goods and raw materials from that part of the world therefore pushing up prices. None of the above could be prevented by increasing interest rates, nevertheless rates went up.

With inflation topping 10% in early 2023 the Bank of England continued to raise rates in the hope that this would bring down inflation. To a degree the policy appears to be working as inflation has now come down to below 7%, their target is 2%.

In previous blogs I have said to watch wage inflation and I stand by that. Wage inflation is around 7% currently and I think this may put pressure on actual inflation meaning rates might not have stopped going up. However to counter this the economy is not in great shape, although again better than expected, and this slow growth could lead to lowering of rates to stimulate the economy.

My best guess is that there will be another rate rise possibly this year then a long period of leaving it alone. Following this towards the end of 2024 I can see the Base rate falling a little to offer some stimulus to the economy.  Longer term I don’t think we will ever see the base rate down near 1% as we have done for so long through the 2010s. Expect fluctuations above a low of 3% and a high of 6%.

How Borrowers Can Prepare

Regardless of the future trajectory of interest rates, borrowers can take several steps to prepare for potential changes:

Financial Planning: Review your budget and ensure you can comfortably handle higher mortgage payments if rates rise.

Stay Informed: Keep an eye on economic indicators and central bank announcements. Being aware of the broader economic context can help you make informed decisions about your mortgage.

Consult a Mortgage Adviser: Mortgage brokers, like The Surrey Mortgage Broker, can provide personalized advice tailored to your financial situation. They can guide you on the best mortgage options, considering your long-term financial goals.

In conclusion, while the future path of Bank of England interest rates remains uncertain, borrowers can navigate these changes with preparation and professional guidance. By staying informed and making prudent financial decisions, homeowners and potential buyers can confidently face whatever challenges or opportunities lie ahead in the evolving landscape of mortgage rates.

How to reduce your electricity energy bill

Money-off energy scheme launched to avoid blackouts

Some households are to be paid if they reduce their electricity usage during peak hours on some days this winter, after the National Grid plans were given the go-ahead by the energy regulator. The Demand Flexibility Service (DFS) is a new service that will help National Grid avoid using its emergency services if electricity supplies are impacted this winter.

The network operator has announced details of the scheme, which it said could save households up to £100. Between November last year and March this year, initially there will be 12 ‘test’ days, designed to see how customers respond.

Those taking part will be given 24 hours' notice of a ‘test’ day

Only the 14 million homes with smart meters will be able to take part in England, Scotland and Wales, which, it is hoped, will reduce the possibility of blackouts at times when energy use is high. In order to take part in the scheme, you need a participating supplier and a smart meter.

National Grid is listing all the participating providers on the ESO website and this will be updated as new providers join the DFS. Customers taking part will be given 24 hours' notice of a ‘test’ day when they will be asked to reduce their peak-time electricity use if they can during a one-hour period identified by National Grid, likely to be between 16:00 and 19:00.

Save energy is by avoiding using large energy consumption

National Grid has confirmed 'these demonstration tests will have a guaranteed minimum price of £3KWh, meaning that a typical household could save approximately £100 across the maximum 12 demonstration tests.’ Exactly how much you save will all be down to your respective energy supplier, so make sure you're keeping an eye out when they wish to contact you.

Simple ways people could save energy is by avoiding using large energy consumption appliances such as washing machines and dishwashers during this time. Other ways include cooking before or after the peak hours, switching off lights and turning off TVs and computers – or even the central heating if in use.

What is a smart meter?

Smart meters replace your existing gas and electricity meters and tell you more about the energy you use in your home. They send regular meter readings automatically to your supplier. This keeps your energy use up-to-date.

Once you've had your smart meter installed, you'll be able to see how much energy you're using. The In-Home Display is a digital device that can sit on your desk or kitchen worktop and communicates with your smart meter.

It can then keep you up-to-date about the energy you’re using and encourage you to try and reduce your energy use. Smart meters are free, and there is no up-front cost to install a smart meter.

Need a mortgage to unlock your dream home?

Whether you’re buying, moving or improving your home, our mortgage experts are on hand to help you. To discuss your options, contact The Surrey Mortgage Broker – telephone 01252 759233– email richard@thesurreymortgagebroker.co.uk

Why buy new?

High specification home and hassle-free living, reducing the need for DIY or costly repairs

 Whether you’re taking your first step onto the property ladder or looking for somewhere new to call home, buying a new property is one of the biggest decisions you will ever need to make. New build homes are an ideal option for those looking for a high specification home and hassle-free living, reducing the need for DIY or costly repairs.

 So if the words ‘fixer upper’ send a chill down your spine, a low-maintenance new home could be the answer to your prayers.

 Here are some of the main reasons for opting to purchase a new build.

 Better quality: New builds tend to be of a higher quality than older properties due to the use of better materials and more advanced building techniques. This means that you can rest assured knowing your home will last for many years to come. In addition, provided you secure your new build early enough, it’s likely you’ll also be given the choice of a selection of tile, carpet and worktop finishes to choose from. Of course, this isn’t the case with every developer, and it’s something you need to ask before committing to a purchase.

 Low maintenance costs: Many new build properties are built with low maintenance costs in mind, meaning that they require less upkeep over time and may not need repairs or redecorations as often as older homes would. A new build home is a blank canvas, ready for you to move into and add your own style, with no work needed to repair damage left behind by previous occupants. Another one of the perks of buying a new build home is that the garden provides a blank space and an opportunity to design it in a way which makes it as low maintenance as your lifestyle requires. This means you can choose plants that require minimal care, or are largely self-sufficient.

 Energy efficiency: New builds must be highly energy efficient and are designed with improved insulation, double glazing and energy-saving appliances, which save on utility bill costs in the long run. Developments in areas such as insulation, low-energy lighting and solar panel systems have meant far less energy is required to keep a home running for longer. Typically, the Energy Performance Certificate (EPC) rating for a new home in the UK is A or B, whilst older homes are often rated as E or lower. By using less energy, new build owners also play a significant part in protecting the environment by reducing their carbon footprint.

 Warranty protection: Many new builds come with a warranty that covers you for any repair or replacement costs up to ten years after purchase, giving additional peace of mind. Cover usually starts from the time you exchange contracts and includes protection for your deposit as well as insurance against any major defects, such as foundations, external render, load-bearing parts of flooring and so on. It’s just one less thing you have to worry about.

 Modern amenities/features: New build properties often come with modern amenities and features such as open plan kitchens, en-suite bathrooms, integrated appliances and energy-efficient heating systems, making them much more attractive than older homes. They may also offer extra storage solutions such as built in wardrobes or large loft spaces which are great for growing families. In most cases, your brand-new home will have larger windows to allow in more natural light, and wider door openings for prams and wheelchairs. Floor areas for new builds are usually designed for open-plan living, which means you can enjoy a generous amount of space to cater for every type of family event.

Finance schemes: There are financial incentives that are only available for buyers who are purchasing a new build home. The incentives can be things such as helping put money towards a deposit, part-exchange deals (where they buy your existing home and sell it on) or shared equity schemes. Some may also offer paying your stamp duty, paying your deposit, free fixtures and fittings, white goods, interior design advice or landscaping, and offering cashback.

 Overall, buying a new build home provides numerous benefits over older properties, with quality construction, low maintenance costs, energy efficiency, warranty protection and modern amenities/features.

Want to find the right mortgage?

 Buying your new home is one of the biggest decisions you will ever make. Our experienced team can assist you with finding the right mortgage. Ready to look at your options? Contact The Surrey Mortgage Broker – telephone 01252 759233– email richard@thesurreymortgagebroker.co.uk