would it be cheaper to build a house than buy one?

[Percyhahn]

it wont be for a few years until i can afford to move out, but i was wondering, would it be cheaper to build a house, rather than buy one? iv always wanted to build a house, and i can build a large barn type building for my collection of cars .
i think it could be for me because, I would have to pay for the land itself architect, brickie, to do foundations, and brick the house, and roofer to roof the house. we would also need a plasterer, and someone to connect the house to the grid, and the connect to water and gas and also lastly someone to fit windows.
BUT....
Me and my dad are qualified in electrics, so can do that, we could build the internal walls, as he did himself a few years ago when we had an extension. insulation is easy, dad can do plumbing, so can plumb in and also fit bathroom and kitchens.
is there anything else i have missed?
what does everyone reckon? im just curious as to whether anyone whos built a house has found it cheaper than buying, or just general opinions?
cheers all

 

[sledge]

That has to be one of the most, if not THE most ambiguous question I have ever seen in here

Its the same as asking the immortal......"How long is a piece of string??"

So what is your budget? Buying the land, having a design drawn up and getting planning permission would be the first issue...say £100k upwards before you even start digging......and that assumes you can find suitable land to start with. The fact that self-builds in this country are very very rare speaks volumes, think about it, if it was cost effective everyone would be doing it.

You would be better off buying a run down property and refurbing it.

 

[sludgeguts]

If you can get the right plot of land then you might be better off going to build something 'not standard'.
For example, you can use bales of hay instead of the usual bricks and mortar.
Once rendered, nobody would ever know & the advantages would be longevity, dirt cheap to build & fantastic insulation.
Also, if you are using 'greener' methods (recycled timber etc) you can claim Government grants to help.

 

[garlicbread22]

Yes it is cheaper to build a house than buy one, in pretty much every case.
But listing the things that need doing like that makes it sound a lot easier than it would be

 

[Stu DemonD]

Have you got the capital? You won't be able to rely on a mortgage after all, not at this stage...

Speak to Kevin McCloud

 

[AppleSei]

In my experience buy a repo property, theyre usually wanted rid of pretty quick and dead cheap

Im 26 and have no mortgage and im on for a 30-40k profit at the minute at current house prices

And no i did not have mum and dad buy it for me

 

[Shadeyman]

Yes its deffinately worth building your own. You make money as soon as its completed, upwards of 15%. Spend 100G on the land, another 50G on materials and labour. The property gains atleast 22G in value as soon as its finished.

It far more popular than you think.
http://www.85percent.co.uk/self-build-mortgage-finance.html

 

[volxstu]

In my experience buy a repo property, theyre usually wanted rid of pretty quick and dead cheap

Im 26 and have no mortgage and im on for a 30-40k profit at the minute at current house prices

And no i did not have mum and dad buy it for me

Where did the £100k+ come from then?

 

[Focus Owner]

drugs

 

[Percyhahn]

that was going to be my next question, as i couldn't have a mortgage, as it wouldn't be for a house, do/would banks lend out large sums of money in a mortgage style for this type of project?

 

[AppleSei]

Where did the £100k+ come from then?

who said i paid 100k?

 

[sludgeguts]

that was going to be my next question, as i couldn't have a mortgage, as it wouldn't be for a house, do/would banks lend out large sums of money in a mortgage style for this type of project?

Sort of, I believe they lend you the money in stages. As with most houses I think they expect you to put some cash up front & then they will give you some money on completion of each stage subject to satisfactory inspection. And not all lenders offer this facility.

As for the repo houses it's an amazingly closed market. I have followed 3 round my way, all have required complete renovation yet according to info on the web, they all sold for marginally less than you would expect to pay in top condition - so in each case, someone has bought into negative equity.

 

[sludgeguts]

who said i paid 100k?

The last time I went back to the old home country (Halifax) was for my uncle's funeral about 5 years ago.
As luck would have it, my exhaust dropped to bits on the run up to the crem so after the service I went into the nearby town for a replacement.
whilst mooching around I happened across an estate agent's window.
5 double-bed, detached property in an acre of land, double garage, huge lounge, huge dining, utility, huge kitchen, office/6th bed. 2 beds en-suite, wet room, wind turbines, solar panels, ground source heat. And fantastic views across the open countryside.
As I stood there drooling, the EA asked if I was interested - was I?
he asked if i had a house to sell?
Strangely, my house isn't a patch on that one - heck, the kitchen alone was bigger than my lounge.
And yet a neighbour had just sold their house for £10k more than that house in the North.
If only I could have persuaded the OH to uproot.

 

[The Beard]

There are quite a lot of timber framed self builds available nowadays, in fact there is a magazine that deals with just that subject, but I can't remember what the hell it's called but a visit to WH Smith ought to sort you out.

There's also a lot of modern materials that provide an alternative to bricks and mortar.

 

[Mr Wild]

My uncle designed his house on a CAD package with no prior experience then was granted permission without any problems. He worked on it for a long time however, 2-3 years before he began building. As long as you read building regs I think you could do it without much problem.

 

[ChrisUK]

Have you got the capital? You won't be able to rely on a mortgage after all, not at this stage...

Speak to Kevin McCloud

You can get build mortgages. But you do need a A+ credit score and 15-20% deposit.

They pay out mortgage money in stages as the build goes ahead.

 

[sledge]

it wont be for a few years until i can afford to move out, but i was wondering, would it be cheaper to build a house, rather than buy one?

Come to any conclusions yet??

It would be easier for someone in your position to save for a big deposit, get the biggest `conventional` mortgage you are happy with, buy a property that suits first time buyers as soon as you can, hope its value increases, sell up after a few years and start trading your way up the ladder.

People self-build not because its a cheap option.....it isnt! but because they have the resources and the capabilities, the motivation and desire too. So lets be realistic and call a halt to the pipe dreams......No one is going to give a self-build mortage to someone in your position and you dont have the resources to meet the initial criteria.

 

[kev1]

You'll have some pretty massive hurdles to overcome namely to do with planning.

Their are virtually no virgin areas or land that come with little or no restrictions but that doesn't make it impossible. A lot of selfbuilders tend to buy land with property already built on it but your costs will be a lot higher as you have to buy the existing house (to free the land up), then demolish the said house and then build the home you want.

Like I said it's not impossible but current rules and regs don't make it easy but you could end up with a home that is totally suited to your needs with no compromises

 

[Percyhahn]

Come to any conclusions yet??

It would be easier for someone in your position to save for a big deposit, get the biggest `conventional` mortgage you are happy with, buy a property that suits first time buyers as soon as you can, hope its value increases, sell up after a few years and start trading your way up the ladder.

People self-build not because its a cheap option.....it isnt! but because they have the resources and the capabilities, the motivation and desire too. So lets be realistic and call a halt to the pipe dreams......No one is going to give a self-build mortage to someone in your position and you dont have the resources to meet the initial criteria.

like you said it is probably best left as a pipe dream, it would be brilliant to build one, and would be enojoyable in the process and the end product would be worth it, but financially, it seems pretty unlikely, and i wouldnt do it unless im guaranteed enough money, i dont want a half built house on my hands! . maybe one day il be able to, should i still wish .

You'll have some pretty massive hurdles to overcome namely to do with planning.

Their are virtually no virgin areas or land that come with little or no restrictions but that doesn't make it impossible. A lot of selfbuilders tend to buy land with property already built on it but your costs will be a lot higher as you have to buy the existing house (to free the land up), then demolish the said house and then build the home you want.

Like I said it's not impossible but current rules and regs don't make it easy but you could end up with a home that is totally suited to your needs with no compromises

land is getting quite hard to come by, a few years ago, my aunt and uncle done the same, but they bought a large plot of land, with a pretty derelict cottage, and demolished the cottage, and built there own very large bungalow on the land and huge double garage. thats what initially gave me the idea of building a house.