5 min read
Discover our top 10 tips when buying a new build home, from snagging surveys and warranties, to maximising developer incentives and securing the right mortgage. We’ll help you know what to expect, what to ask, and what to watch out for.
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Read our 10 top tips if you’re considering buying a new build home in the UK, to help you understand the process, avoid common pitfalls, and make a confident, informed decision whether you're buying off-plan or a completed new build property.
In this article:
Selecting a new build developer is the first, and arguably the most important, step in the process. Before committing, take time to research the developer’s reputation as a house builder:
Check their online reputation: Read their reviews on Google and social media as well as sites that review new build developers specifically, to get a sense of public opinion. Are there repeated complaints about delays or poor quality? You should also pay attention to how the company responds to any complaints, as this shows you how they handle disputes.
Ask for first-hand feedback: If the development has completed homes, you can speak to current homeowners about their experience, asking them how they were treated before, during and after the buying. You can also look online to see if your development is being discussed on any internet forums.
Look at industry recognition: it’s worth checking if the developer has won any industry awards for the quality of their work. Beyond this, you can also consult the National New Homes Customer Satisfaction Survey, an annual report put together by the House Builder’s Federation, documenting star ratings for developers across the country.
While financial failures are rare and economic downturns can be hard to predict, it’s wise to plan for the unexpected:
Ensure deposit protection: check if your developer provides new build deposit protection through a warranty or insurance scheme. Look for schemes that explicitly offer deposit protection to help you to recover part or all of your deposit if the developer fails financially.
Add contractual safeguards: Ask your conveyancer to include a clause into the contract that addresses what happens if the developer becomes insolvent. This provision should outline steps for retrieving your deposit and detail your rights in such situations.
Consider additional insurance policies: Some companies offer buyer protection insurance, which covers a range of issues, including insolvency. Check with your insurance provider about available options. Our partner, One Click Cover can help if you do not currently have an insurance policy.
Monitor the developer’s financial health: You can regularly check the developer’s financial health by reviewing their financial reports and any industry news that indicates their stability. Staying updated significantly reduces unexpected setbacks.
Get expert legal advice: Your conveyancer can provide invaluable advice. Choose a conveyancer experienced in new build purchases who can ensure your contract includes all necessary protections.
We work with conveyancing solicitors experienced in new build transactions. Get a personalised quote for your new build purchase today.
Before committing to a new build property purchase, make sure you ask the developer the following questions:
Before moving on a new-build property, investigate the developer’s history and reputation. Do they have a habit of delivering projects late? Is their work of a high-standard, or are they notorious for cutting corners? Look for online reviews, check forums, and if possible, speak to residents of previous developments.
If you’re buying a new build off-plan, ask when you’ll be able to get in and have a look before you complete, mainly to spot any snags that the developer should fix. It’ll also be exciting to see your new home coming together!
If your home will be finished before other properties in the development, request a construction timetable so you know how long any disruption from continued building work in the local area is likely to last.
Read our article to explore the pros and cons of buying a new build home along with the key differences between new builds and older homes.
A big perk to buying a new build is that developers often offer certain financial incentives to potential buyers to secure sales. These can significantly reduce your upfront costs. In the UK, new build developer incentives can include:
Cashback deals: contributions towards your deposit, legal fees, moving costs, or even stamp duty
Deposit contributions: while many lenders require a 10% deposit for new builds, some developers will help top up your deposit so you can buy with as little as 5%
Covering costs: some developers will cover the full cost of stamp duty or other fees
Free upgrades: extras such as upgraded appliances, floorings, fixtures or landscaped gardens can add value without extra costs.
Incentives are often plot-specific, so always ask what’s available. Even if nothing is advertised, it’s worth asking the developer what they can offer, as they may be more flexible towards the end of a sales phase or financial quarter.
Government-backed schemes for first-time buyers of new builds, such as Lifetime ISAs, Deposit Unlock, or the First Homes Scheme, may also be worth exploring. However, you should check your eligibility with the scheme and that they are also eligible with your chosen developer. Learn more about first-time buyer schemes.
Securing a mortgage for a new build home can be slightly more difficult than a standard mortgage. Lenders often consider properties built within the last two years as new builds and may have stricter criteria, including higher deposits or limits on lending for off-plan purchases. Here's a step-by-step guide to help you through the process:
Consult a specialist mortgage adviser: Speak with a mortgage broker who specialises in new builds. They will have the expertise to navigate the specific requirements and limitations that might apply.
Understand lender restrictions: Be aware that many lenders offer reduced loan amounts for new builds, and some might not finance off-plan purchases at all. A specialist mortgage adviser can identify which lenders are open to working with such properties.
Check deposit requirements: While many lenders require at least 10% for new builds, some schemes or developer incentives may help you buy with less.
Explore schemes: Research government-backed schemes, or initiatives offered by the developers as these could help boost your deposit and help make your budget stretch further
Use online mortgage calculators: Many mortgage lenders offer online calculators where you can input your financial details to get a rough estimate of how much you might be able to borrow before you start house hunting.
By following these steps, you can gain a clearer understanding of your mortgage options and how much you can borrow when purchasing a new build property.
Yes, as with any other property purchase, it’s possible to negotiate the new build price, however, it depends on market conditions and developer motivations. To maximise your negotiation potential, consider the following tips:
Research market conditions: Understanding current trends and market data can provide leverage in your negotiations.
Know the developer's motivation: Being aware of the developer's need to sell can strengthen your position. For example, is it the last house on the development?
Be prepared to walk away: Sometimes, showing you have alternatives can prompt better offers.
Developers are often eager to sell properties off-plan, since housebuilding is a cash-intensive business. However, recent market trends indicate that the level of off-plan sales has reached a decade-low. This downturn might work in your favour, as developers could be more willing to offer competitive prices to secure an off-plan sale.
Buying a new build, especially one off-plan, comes with unique legal challenges. Your conveyancer choice is important as the right conveyancer will protect your investment and keep your purchase on track. Here’s why hiring the best legal help is crucial:
Ensure a smooth transaction: A conveyancing solicitor experienced in new build purchases will handle the complex paperwork ensuring all documentation is accurate and strict deadlines are met. This expertise prevents delays and costly errors.
Manage unique challenges: From construction delays to specification changes, a specialist conveyancer can negotiate terms that protect your interests.
Navigate financial implications: Buying off-plan often involves staged payments based on construction milestones. A skilled solicitor can help manage these payments and ensure that the terms of your contract are fair and transparent.
Protect your investment: They’ll verify planning permissions, review your contract thoroughly, add deposit safeguards to your contracts and flag any hidden risks.
Conduct thorough due diligence: An experienced conveyancing solicitor will carry out comprehensive due diligence, verifying the developer’s credentials and financial stability.
Find out more about the new build conveyancing process and the role of a conveyancer when buying a new build.
Pro tip: Don’t just go with the developer’s recommended solicitor - choose an independent expert who’s working solely in your best interests.
We work with conveyancing solicitors experienced in new build purchases, get your conveyancing quote today.
When buying a new build or off-plan property, it’s essential to know what’s included in the price so you can budget effectively and avoid unexpected costs later on.
Here's what’s typically included:
Structural elements: The price generally covers the core structure of the building, including walls, roofs, and floors.
Basic interior finishes: Standard interior surfaces like flooring (though often a basic option), wall paint, and tiling in kitchens and bathrooms
Standard fixtures and fittings: Basic fixtures such as plumbing, electrical fittings, and in some cases, kitchen units and bathroom suites are often included. However, the specific quality may vary based on the developer.
Outdoor spaces: Landscaping of shared areas and driveways is often included, but personal outdoor areas like a private garden might come with extra costs, especially if you desire turf or specialised landscaping.
Warranty and guarantees: Developer warranties or structural guarantees that provide protection after you move in.
Upgraded materials: If you want premium floorings like hardwood or custom joinery, these often come at an additional cost.
Personalisation packages: Some developers offer customisation packages that allow you to tailor the property to your tastes, which can increase the overall price.
High-end appliances: Kitchen appliances are sometimes not included or may require an upgrade for quality brands.
Additional landscaping: Sometimes even grass can cost extra!
It's essential to communicate closely with the developer or sales agent to get a detailed list of inclusions and track any additional costs.
When buying a new build, your purchase timeline isn’t always straightforward. Understanding key terms like the new build completion date and the long stop new build deadline will help you manage expectations, especially if you’re purchasing off-plan.
Here’s what you need to know:
New build completion date: This is the target date the developer expects to finish building your home. It’s often an estimate, particularly for off-plan properties.
Long-stop new build date: This is the legally binding deadline by which the developer must complete the property. If they miss this date, you may have the right to withdraw from the purchase and recover your deposit.
Delays happen: Construction setbacks are common, so always prepare for the possibility of your move-in date being pushed back.
Protect yourself in the contract: Ensure your solicitor reviews the long-stop date and includes clear terms that outline your rights if there’s a delay.
Find out more about the new build conveyancing process.
Before you move into your new build home, it’s important to check that everything meets the required standard. A snagging survey helps identify any defects so they can be resolved as soon as possible.
Here’s what to do:
Arrange a snagging inspection: Hire an independent snagging inspector, especially if the home is being built by a developer adhering to the New Homes Quality Code (NHQC). The inspector will check for everything from cosmetic issues (like paintwork or surface scratches) to more serious problems such as faulty wiring or structural defects. Snagging surveys can be carried out both pre-completion (via a PCI) and post-completion.
Create a snagging list: The result of the snagging inspection will form a comprehensive list detailing all identified issues. Share this with your conveyancer and the developer so that repairs can be completed before handover where possible, or as soon as possible afterwards.
Request a pre-completion inspection (PCI): If the developer is registered with the NHQC, you are entitled to a PCI before legal completion. This formal inspection provides a record of the property’s condition and should be shared with both your conveyancer and the developer to ensure defects are resolved early.
The typical snagging survey cost starts at around £320, however it depends on property size and location. Find out more about snagging surveys.
Before completing your purchase, make sure you fully understand the warranty and aftercare arrangements for your new build property. These protections are there to give you peace of mind and ensure any issues are dealt with quickly.
What to check:
10-year structural warranty: Most new builds come with a warranty from providers such as NHBC, LABC, or Premier Guarantee. This usually covers:
Years 1–2: The developer is responsible for rectifying any defects in workmanship or materials.
Years 3–10: The warranty provider typically covers major structural issues only.
Developer aftercare service: Ask how defects should be reported and what timescales the developer works to for fixing issues.
Exclusions: Review the warranty documentation carefully to understand what isn’t covered (e.g. general wear and tear or cosmetic issues after a certain period).
Transferability: Check whether the warranty can be transferred to future buyers, which can help protect your property’s resale value.
Pro tip: Keep a record of all communication with the developer and warranty provider and report any defects in writing to ensure they’re dealt with promptly.
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