London, 6 September 2024 – Four of the NaCSBA executive board members – including the chair and deputy chair – are among the expert speakers at this month’s 30th anniversary London Homebuilding & Renovating Show giving tips to help London self-builders and renovators save on costs and make their projects run smoothly.
Sponsored by leading lift supplier Gartec, the show, taking place between 27-29 September at ExCeL, brings together top speakers who will share their insights and strategies to help London homeowners with their most common challenges under the banner of ‘building London better’.
The four NaCSBA speakers are Mark Stevenson, Michael Holmes, Tom McSherry, and Sally Tagg and they have shared some of their advice ahead of the London show:
NaCSBA chair, Mark Stevenson, self-build expert for the London Homebuilding & Renovating Show, director at Elsworth Projects, says:
- Meeting the energy efficiency and low carbon obligations while building with a tight budget
The first steps to managing the tension between these goals is to know the options and which are more cost effective. As the building regulations advance, the requirements are getting more stringent but designers with experience of achieving the targets will understand how to do this cost effectively due to raising construction costs. Loading a house full of renewables might sound great but the upfront cost is high and it will take many years to get the money back. A better option might be to opt for a fabric first approach such as timber frame or structural insulated panels (SIPs) which will be energy efficient and reduce the renewable tech needed. Also be wary of designers who have a personal agenda of building award winning zero carbon homes. There’s nothing wrong with the ambition, but if you let them hijack the project, you could find the design is much more expensive than you can afford.
- Securing a consent for a house design that suits you and your family
In built up areas there are plenty of external influences such as minimising impact on neighbouring properties. About half of all self builds are replacement dwellings and therefore it’s highly likely that plots in urbanised areas such as Greater London will be a knockdown and replacements. In theory, these plots are low risk as they come with a guarantee of planning consent, but exactly what you’ll get will be down to some finer negotiation with the planners. Before putting pen to paper, it’s best to engage a planning professional who understands the planning policies and can navigate the planning maze without getting too drawn into design aspirations which might prove unachievable in an established street scene.
- Provide the required minimum standards of welfare for workers
Whilst building on tight sites is an art, if you know what you’re doing it’s perfectly possible to build on even the tightest of sites. The key is planning and organisation and London builders will be very familiar with the problem and will know exactly how to deal with it. Building sites are places of work and the regulations are quite clear about what’s needed. Welfare facilities where workers can rest, get dry, heat food are essential as is a toilet with warm running water. The regulations don’t say how these should be provided so a suitably prepared shed at the back of the garden will be perfectly acceptable. Just make sure you can get the thing out at the end of the build, or better still, leave it in place and covert it to a summer house or garden office.
- Health and safety obligations often get overlooked
Building sites in urban areas where the construction work is being undertaken next to occupied homes is a problem and one which must be addressed. The best way to do this is engage a professional such as a fire engineer who can assess the risks and identify what mitigations are needed to limit any spread of fire to the neighbours. The solutions are usually obvious: don’t let waste build up and make sure there are no sources of ignition such as smoking on site. If you’re building with a timber system such as timber frame or SIPs, use a member of the structural timber association (STA) as they’ll automatically follow the 16 steps of fire safety and will carry out a detailed fire risk assessment to make sure the building site is safe.
Michael Holmes NaCSB Deputy Chair, the show’s property expert, presenter of over 150 television property shows suggests:
- High VAT Costs for London home improvements
Ensure your contractor is VAT-registered and can apply the reduced rate for eligible works. Take advantage of the 5% VAT rate for installing energy-saving materials like insulation, solar panels, and heat pumps. If converting a non-residential building into a home or renovating a property that has been empty for 2+ years, you may qualify for a reduced 5% VAT rate. Projects that increase or decrease the number of dwelling units, such as splitting a house into flats or vice versa, can attract a reduced 5% VAT rate. Renovating properties that have been empty for 10 years or more, or changing the use of a building, may also qualify for the reduced 5% VAT rate on all eligible labour and materials.
- Substantial property taxes for London househunters
First-time buyers can benefit from Stamp Duty Land Tax (SDLT) relief on properties up to £500,000. If you are transferring equity (ownership) of a property, SDLT may only be payable on the portion being transferred. Purchasing a property that includes both residential and commercial elements can qualify for the non-residential SDLT rates (often lower than residential rates). If you are purchasing multiple properties in a single transaction, such as a house with an annex, you may qualify for Multiple Dwellings Relief, which can lower the SDLT payable. Try to negotiate the purchase price to fall just below an SDLT threshold to benefit from lower SDLT bands. If possible, structure the purchase agreement to include deferred payment arrangements, which can spread the SDLT liability over a longer period. When buying through a shared ownership scheme, you can choose to pay SDLT in stages based on the share you purchase, which can reduce the initial SDLT burden.
- Costly party wall settlements on home improvement projects
Inform your neighbours about your plans early to foster goodwill and potentially agree on informal terms, reducing the need for formal procedures. Appoint a single agreed surveyor for all parties involved to split the cost, rather than each party appointing their own surveyor. Provide detailed and clear plans to your neighbours to minimise misunderstandings and objections, which can lead to costly disputes. Ensure full compliance with the Party Wall Act 1996 to avoid legal complications and additional costs. This includes serving the correct notices and obtaining necessary agreements. Consider using mediation services to resolve disputes amicably and cost-effectively, rather than resorting to legal action.
Tom McSherry, the show’s self-build mortgage and financial specialist and National Business Development Manager, Buildstore.recommends:
- Building a new home with only a small deposit when London plot process and building costs are so high
There are some self-build mortgage deals which will provide you with up to 95% of your land and building costs so you can build with as little as 5% of your costs, although most will offer around 80 – 85% of your costs.
If you only have the minimum deposit, then an advance stage payment mortgage could be a solution. Self-build mortgages release money to you as you progress your build and these deals will provide money up-front to cover the costs of each upcoming stage of work. There are no valuations during the build – each stage release is agreed as part of your mortgage application, so you know exactly what you’ll get at each part of your build.
- Lack of building plots available
Sign up to the Right to Build Register with your local council. Under national legislation, councils have to make enough plots available to fulfil local demand over a rolling three-year period. Demand can only be identified by potential self-builders registering an interest, so sign up today!
Or, why not renovate and bring back into use a run-down or uninhabitable property and become part of an existing community? You can arrange a self-build mortgage to buy the property and fund the repair work. You’ll save a lot of money on architect and planning fees compared to building a new property and you can retro-fit energy efficient features into your new home.
Sally Tagg, planning expert for the Homebuilding & Renovating Show and Managing Director at Foxley Tagg Planning Limited, says:.
A complex planning process
It is evident when talking to would be self-builders that many are not really prepared or understand what the planning process entails and the nature of its complexities, so that can be a bit of a shock. Additionally, very often they do not know where to start or the best ways to proceed. The planning consultant really is the person who is the go -to for everything in terms of bringing a site through the planning process. They will have tried and tested contacts with other experts such as ecologists, heritage consultants, highways engineers and flood risk experts with whom they regularly work and architects with the appropriate design skills to suit specific circumstances.
What I am trying to do as a planning consultant is to ensure that the right approach is taken from the get-go for a specific set of circumstances, looking at the fundamental issues first before considering detailed issues such as the house design and investing in drawings. For example, if you do not carry out a feasibility study or site assessment from the outset you could be proceeding with a site that is not going to be deliverable through the planning process. It’s vitally important to understand some of the basic parameters before investing too much time and money.
ExCel London will house thousands of products and services presented by over 250 exhibitors and visitors will be able to attend any of a series of around 80 seminars, including those at the Self Build Theatre (sponsored by Self Build Zone) and masterclasses at the Masterclass Theatre (sponsored by Kitchens 4 DIY). Showgoers will be able to discuss their building projects with leading industry specialists as well as book 15-minute expert one-to-one consultations at the Advice Centre (sponsored by Internorm).
To attend the London Homebuilding & Renovating Show 27-29 September 2024 for free, click on this link to register for a pair of tickets for any of the show days.
