News - Industry
Mortgage Solutions | 24 May 2012 | 16:48Follow @adamfrwilliams
The government's decision to promote self-build homes has seen an increase in the number of consumers making enquiries about such properties, according to the latest Mortgage Solutions poll.
Housing minister Grant Shapps launched a £30m fund for self-build projects last week, with the aim of increasing the percentage of new self-built houses from its current level of one in ten new homes.
The scheme drew support from television presenter Kevin McCloud and 27% of respondents to our poll admitting they had seen an increase in demand for self-built properties.
Shapps aims to boost the number of self-build homes in Britain to draw it up to the levels seen in other areas of Europe.
But Peter White, director at self-build advice specialists Aston Mortgage Services, said lenders were key to growth.
"I think self-build homes will remain a niche product unless lenders take it on board. Big lenders like Nationwide and Skipton pulled out of self-build and need to return as there's not enough choice in the market right now.
"It is too soon to know if government scheme has had an impact."
Steve Turner, head of communications at the Home Builders Federation, welcomed the government's fund, but said that all forms of housing needed to be supported.
"Anything that contributes to increasing housing supply must be welcomed but the government must also focus on more mainstream solutions.
"Self-build is only an option for a few and it's always going to be a niche product, but an increase in numbers must be welcomed."
The new Mortgage Solutions poll asks whether the Mortgage Market Review is likely to push more borrowers toward the intermediary market. Have your say by clicking HERE.
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