Top six sources of self-build angst

Selfbuilder anguish is a complaint familiar to most Britons. For that you can thank the telegenic qualities of earnest couples standing in fields of mud into which they have sunk every last penny they own.

Of course, it’s a compelling TV narrative: an impossible dream pursued against the odds, an overly optimistic beginning, a bruising clash with reality, an ingeniously devised recovery followed by eventual triumph. Or possibly a slow fade on a ‘to be completed’ property.

Telly self build has undoubtedly raised the profile of selfbuilding. It’s no more the reserve of the rich, the eccentric or the professional builder who’s squeezed in a home of their own between commercial projects. But that familiarity has come at a price. For every viewer who’s inspired to create their own grand design, there are dozens more who swear their lives are stressful enough as they are, thanks very much.

So what is the reality? Moving is always majorly stressful, so double that for a move to somewhere that doesn’t yet exist, especially when its existence rests entirely on your shoulders.

It’s a big, big ask and a precipitous learning curve, not just about the mechanics of housebuilding but your ability to plan and organise complex projects. And, as with every other major life event, forewarned is forearmed. Here, then, is a very basic primer for self build’s most common crisis points – and how to avoid them.

1: Plot

Plots are typically chosen on the following criteria: location, view, size, orientation, access and affordability. But unless you are exceptionally lucky achieving all six, even on a generous budget, can be hard.

Remedies:

-Decide which factor or factors are key and be flexible about the rest.

-If a vital one seems insurmountable, look for plots with similar problems and see how they were, or weren’t, overcome. A solution may be surprisingly obvious.

2: Planning permission

Britain’s planning rules are labyrinthine, often contradictory and, thanks to staffing cuts, rejecting applications is easier than approval.

Remedies:

-Choose an architect or designer who has had repeated success in your chosen area.

-Favour the local vernacular, especially if your design is innovative or unusual.

-Go for a sustainable, ultra-energy efficient eco home – low-carbon housing is now government policy.

3: Finance

Self-build mortgages look and act like business loans, yet they’re personal. This confuses most high street lenders, which is why self-build mortgages are a niche product mainly confined to small building societies. As a result interest rates are generally higher than average.

Loans are provided on percentages of the value of the plot and of the finished house with payments made, typically, in six stages. Each stage, however, has to be completed and approved by the lender’s surveyor before payments are made.

Without savings to cover the cost of each stage, repeated and expensive short-term loans may be needed to avoid a temporary halt in the project, or a strained relationship with your contractor or subcontractors.

Remedies:

-Raise a loan on your current home to use as a ‘float’, repaying it when you sell. Buildstore’s Accelerator Mortgage is specifically designed for this option.

-Otherwise, once your project is completed, switch to a standard – and cheaper – mortgage, but first check early repayment charges on your self-build mortgage.

4: Contractors

Fear of ‘cowboys’ is endemic, and for good reason in our largely unlicensed market. As a result, the only reliable guide to competence and dependability is professional reputation – hard to judge if you’re not a professional yourself.

Remedies:

-Architects will know reliable builders they have worked with successfully before and from whom they regularly invite tenders.

-Architects can also manage your build, as can independent project managers.

-Alternatively, go for a packager offering an all-in ‘turnkey’ service – more common with European companies, though growing here with the rise of factory-built homes. Any professionally managed option, however, will add to costs.

5: Budget

Everyone goes over budget – partly because a one-off build is, by definition, an untested process and not every solution will work perfectly first time; partly because of random factors (ground conditions, weather, changing material costs); partly because selfbuilders change their minds – generally for good reasons.

Remedies:

-Hiring a quantity surveyor to cost a detailed specification from an architect (though this will add a professional fee of at least 10 per cent plus VAT).

-Otherwise, keep a project diary and spreadsheet recording both estimated and actual costs – ideally updated daily. Key to this is noting down any changes or extras requested of your contractor together with their estimate of additional costs. This should substantially reduce the likelihood of expensive surprises and enable you to avoid or survive additional costs.

6: Foundations

The great unknown in any building project is what lies beneath it. In many cases it will be good, stable soil, perfect for standard, metre-deep foundations.

Sometimes there will be soft patches – made-up ground, roots from a nearby tree or even archaeological remains. Small patches can be bridged; larger ones may require budget-busting piled foundations.

Remedies:

-Dig numerous trial holes.

-Check any historical maps.

-Basically it comes down to a good contingency fund – 15 to 20 per cent of your budget – and crossed fingers until you are ‘out of the ground’.

October 2019