SPOTLIGHT ON SCOTTISH DEVELOPERS - Monday 08 June 2009
A special report by property correspondent Heather Rose
TO many first-time buyers the prospect of being able to by a brand new home in this day and age seems as far fetched as the idea of taking an annual holiday on the moon.
Moon travel may be a long way off, but, if first-time buyers study the new-build housing market at the moment, they could be in for a very pleasant surprise.
Everyone knows the past year has been a tough one for all involved directly or indirectly in almost every area of business, especially the financial sector. Housebuilders are keenly aware of this, very keenly aware of it.?
Ever resourceful, instead of letting these tough moments take their toll, they have taken positive action and come up with a range of extremely innovative marketing initiatives, and ensure their homes are on offer at the most affordable of prices.
As Colin McLachlan, joint managing director of Sovereign House Developments, said: Its undeniable buying property is more of challenge now than it has been in a long time; but with house prices at an all time low, it can also be the best time to make the move.
Buying a new build home can be the best option in these difficult economic times. Developers constantly have to come up with new incentives to tempt buyers and those who are savvy can use this to their advantage.
However, at Sovereign House, we dont adhere to a one size, fits all approach to incentivising our product as we understand that every buyers situation differs from the next.
At every development, we endeavour to find the perfect package to suit each buyer. Id encourage any interested parties to call our sales hotline on 08450 178 655 to find out more about what we could do to help them secure their dream home.
One of the most innovative approaches to help people at all levels of the housing market has been taken by Stephen Homes. and GS Brown Construction. Earlier this year they launched their Chainmaker Equity scheme through a link-up with the Solicitors Property Centres in Dundee and Perth.? It helps people at all levels of the home ownership ladder.
Under the scheme they are prepared to take up to 15 percent equity in homes being sold by potential buyers of their new-build properties. That share can then be passed along a chain to make housing more affordable for first-time buyers.
John Stephen, managing director with A and J Stephen, explained: The recession has impacted across the country and weve seen housebuilders offering incentives to buy their properties.
Shared equity is nothing new, with builders retaining a percentage of the value to make it more affordable to the buyer.
The key difference with Chainmaker Equity is that its a subsidy which can be passed down the line to other properties, making prices more affordable and helping oil the wheels of the crucial first-time buyer market.
Hopefully this will help them gain a foot on the property ladder and give the market a much needed boost.
Mr Stephen continued: There are buyers in the market but lending criteria has become tight, particularly in terms of the deposit required. This initiative will improve homebuyers prospects of getting their hands on mortgage funding and make homes more affordable.
In turn it should generate more activity in different sectors of the market.
With support from the Solicitors Property Centres, law firms and local surveyors, Im optimistic this will stimulate the local market.
Very often homehunters restrict their search for a new home to an area they already know but if you are in a position to broaden your search horizons, a very feasible option in this day and age when so many people do not need to be office based every day, this can also lead you to well priced, high specification areas in very scenic settings.
As Muirhall Developments stated:? With our new flats at Cumbrae Club Court in Millport, we have created a rare and unique opportunity to live in bright modern and comfort, on a wonderful island - which offers a gentler pace and quality of life, and is only ten minutes by ferry from Largs.
Cumbrae is widely known as The Magic Island, and, along with stunning sea views, has a golf course, bowling, cycling, sailing, wildlife, a range of active clubs and associations, and its own hospital.
Our flats are pre-wired for Sky+, Freeview and digital tv, and have fantastic insulation for economic living.? They come with dedicated car parking, and basement storage areas.
Viewing is a must, as the understated Conservation Area exterior hides bright spacious, well designed homes, each with a 10-year Zurich warranty. Have a peek inside on the website - www.cumbraeclubcourt.co.uk, or, better still, let us show you round.
But there are far more benefits to buying a new-build property than just the price, which can add up to significant financial savings after you have acquired the keys to the door.
One person well aware of this is Kenny Turnbull of Country Lifestyle Homes. As he pointed out: There are a number of benefits of buying a new-build property provides that a second hand home doesnt.
First of all, there are practical benefits that bring peace of mind, such as a 10-year structural warranty and the knowledge that every aspect of the property meets current building regulations, including money saving insulation and heating efficiency regulations.
Second hand properties can have hidden dangers from DIY builders, together with costly heating and maintenance bills, not to mention historical issues of structural instability or damp, things that would only be picked up by a costly full structural survey.
In our houses, we put additional insulation in internal walls to provide improved room by room heat management.? Our heating systems are A rated for efficiency and, where possible, we have installed solar panels to provide 70 percent of the annual hot water for free.
Secondly, there are aesthetical benefits. New properties are in a complete walk-in condition with no need to apply a fresh coat of paint, or budget for replacing an outdated kitchen or bathroom. Our German kitchens are designed and installed by the UK master kitchen retailer of the year, with state of the art Miele and Siemens appliances. Our boutique style bathrooms feature the latest tiles by Porcelanosa, relaxing spa baths, mood lighting and waterproof TVs.
Thirdly, there are benefits in the buying and moving-in process.? At Country Lifestyle Homes, we have a team of professionals willing to listen to your individual needs, exercising a policy of flexibility that puts your requirements first, even to the extent of making adjustments to the property, to ensure it feels like your home, just the way you want it.
With a second hand property, what you see is what you get, with the seller having neither the resources, nor the inclination, to do anything more than just sell the house in its current state.
With only 4 homes remaining out of a select development of 9 luxury homes at Bellisle Homes' exclusive cul-de-sac development Willowbank, Gartcosh, the 5 bed Carnoustie at 2,200sqft (excl. double garage) and set within the largest plot, offering privacy and a south facing rear garden, is now reduced from the original price of £380,000 to an incredible £330,000. Bellisle Homes have also reduced the original starting price on the other remaining homes from £275,000 to £249,000 which has the added bonus of reducing the Stamp Duty from 3% to 1% thus giving a saving of at least £30,000 on the original price. This combined with there amazing offer for you to live mortgage free for 2 years (subject to terms and conditions) adds up to an excellent opportunity for the discerning purchaser. For further details contact Bellisle Homes direct Tel: 01236 782718.
Like most other developers Lorimer homes find themselves in somewhat challenging times however, they have noticed a recent increase in sales, more notably in the Aberdeen market as we believe this to be one of the most buoyant in the current conditions.? With the correct stock and correct prices potential buyers will still invest in properties allowing this increase to continue reflecting a more positive market for sales.
So if you are a first time buyer who thought the idea of buying a brand new home was impossible, think again. Do your homework with care and you could be in for a very pleasant surprise.
