Tag: mortgage

HPH358: Getting the right mortgage for a house build project – with Tom McSherry
Tom McSherry from BuildStore explains the importance of cashflow when it comes to building a house and why a big part of selecting the right mortgage product is about planning your project around your budget and making sure you have accurate costings.

Interview with Tom McSherry

Tom McSherry is the National Business Development Manager at BuildStore with over 30 years of experience in financial services, 19 of which have been exclusively at BuildStore. With a background in engineering and a passion for construction, he has also successfully managed the development of his own family home, emphasising the importance of professional involvement in the design and construction process.

Engage early and start with a clear budget

No matter what your financial circumstances are, you will get the maximum benefit by engaging early with a mortgage provider and planning your house build around your budget. For some, the incubation period may be three or four years, and BuildStore has a specific team that will support early engagers.

Tom says that setting a clear and realistic budget is essential. Architects, designers and package solution providers should then work within these parameters, reducing the risk of a Grand Designs style ‘disaster’.

Remember the 3 ‘C’s – construction, cost and cashflow

While determining how much money you should borrow is a key stage, cashflow is the most important aspect of your finances once the build is underway. This ensures timely payments to contractors and the smooth progression of the build. Of course, all of this hinges on an accurate understanding and modelling of construction costs in the first place!

If you’re one of our Hub members, check out our training session with Tom.

Money is drawn down in pre-determined stages

Part of the planning before construction will include how much money is paid out and when. These are called ‘stage payments’ and at BuildStore there are three options:
- Valuation based arrears – Payments are made when the value of your plot or property increases.
- Stage payments in arrears – Money is released on completion of each stage of your build.
- Advanced stage payments – Money is provided in advance and based on your costings for that stage.
There are pros and cons to each of these mortgages but ultimately it comes down to your personal circumstances as to which is more appropriate.

For example, if you were embracing off-site manufacturing for your house build then you may have some significant costs upfront.

“The advanced stage payment, the accelerator mortgages as its known, delivers the money into the customer’s bank account prior to the beginning of each stage, which allows them to pay for their superstructure in a timely fashion. And it’s a complete mitigator of risk again, you know exactly what you’re getting at each stage.”

There is a degree of uncertainty with valuation based mortgages

For this product the stage payments are based upon a valuation in arrears. This means there is no guarantee of how much you will receive at each stage, because it will depend on the independent valuation that is carried out.

Therefore for projects where the property’s value temporarily decreases after the completion of a stage — such as when a barn is stripped back during a conversion — the valuation-based model may not be the best fit.

“If I’m adding a large wraparound extension to my home, I can use the same stage payment mortgages, but of course at some point I’ll create openings in the walls to create an extended area, my property that could be worth 300,000 could drop to 150 in value, because it’s no longer even wind and watertight.”

Secure your mortgage as early as possible

Every project is different and will require a tailored approach, and so you put yourself in the best position by starting the conversation early.

Even if you plan to use cash for most of the build, still engage early

If you have a lump sum to get your project started and think that you can secure a mortgage later, perhaps during construction, then you may be in for a shock. Setting up a mortgage takes time. It may be better to work with your mortgage adviser to form a plan incorporating your own funds.

For example, you might draw down a small amount early on to get the mortgage live and then use your own funds, safe in the knowledge that you have funds in place to complete the entire build.

Draw down your money when you need it

Whilst you could borrow funds for the entire project at the beginning of the process it probably doesn’t make sense as you would be paying interest on the whole amount when you don’t need it all yet. Therefore if you draw down only the amount you need for each stage, you will be minimising these charges.

“So if I’ve got a build project, it’s going to take me 14 months, I don’t want to take £300,000 on day one and service that debt, I’d rather take £30,000 for my foundations on day one, and make an interest only payment on £30,000.”

Other ‘safety nets’ can be put in place

BuildStore not only provides mortgage advice but will keep in touch throughout the project with monthly check-ins. In addition, they offer site insurance during construction and a 10-year structural warranty which goes live upon completion.

You may also want to explore personal insurance which would cover you against changing circumstances such as redundancy, critical illness and bereavement.

Self build mortgages are temporary products

As the name might suggest this is a mortgage that helps you get through the build. Sometimes you may even choose to pay interest only.

So once a completion certificate has been issued it makes sense to switch to a standard residential mortgage, often with a free switch facility. This approach ensures clients transition smoothly to a longer-term mortgage that best suits their needs.

Make sure your mortgage advisor has access to all lenders

Tom’s closing advice emphasises the importance of early engagement and accurate budgeting in self-build projects. He advises that clients work with industry specialists who have access to all lenders and product types to avoid issues like running out of funds or delays in receiving stage payments.

“I’m not going to my GP for surgery, I’m going to go and deal with someone who knows specifically, that’s what they do day in and day out.”

Find out more

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August 14, 2024
HPH246 : Self build mortgages that promote sustainable living – with Paul Ellis from Ecology Building Society

Paul Ellis, Chief Executive of Ecology Building Society, explains their approach to mortgages that reward energy efficiency and sustainability.

Interview with Paul Ellis

Paul Ellis was an early investing member back in 1981 when Ecology Building Society was formed, and has been Chief Executive since 1995.

Founding members had a shared interest in environmental causes

The ten founders had met through their involvement with the Ecology Party; the forerunner of the Green Party, and had a shared interest in self-sufficiency and low-impact living.

They were individuals looking to buy properties to renovate to reasonable energy efficiency standards, and without doing too much work. What they found was lenders were very restrictive and uninterested in providing support. They would demand certain works such as ripping out stone floors and putting in damp-proof courses that weren’t really needed, but that they felt would minimise their risk.

“So, they’d often say they’d lend the money, but only once all the work is done, which wasn’t the point because everybody wanted to do their own work, be self-sufficient and learn building skills. So, they would be forced immediately into trying to get others to do the work and they were probably not going to have those kinds of funds available.
So, the building society was setup to really encourage that ability to take properties and bring them back into good use to a reasonable standard, but not to provide expensive kitchens.”

They are the youngest building society

At the time they decided to set up a building society, there hadn’t been another done for quite a while beforehand, and they are still the youngest in the country. Paul believes a change in the regulations is the reason for this. In 1981 they only needed ten investors with a maximum of £5,000 to actually start the building society. The authorities caught wind of it and changed the rules to increase that amount. Luckily they managed to get the paperwork signed with five minutes to spare before the rules came into enforcement!

Building their own premises seemed a natural step

With the business growing it was necessary to find new premises, and after considering renovation they decided that building their own offices would be the best way forward. It could incorporate some of the techniques they were asking their borrowers to consider, and be a bit of a test to see what the issues were. And while the building has largely been successful, there are certain things they would now do differently.

The building dates back to 2003, before Passivhaus was well-known in the UK. If they were to do it again, or when they extend it, they would use Passivhaus concepts.

Paul says they were fortunate at the time to have the advice of eminent energy efficiency experts, although they had to compromise some of the ideas slightly to create a warm, welcoming space to live and work in.

There are two distinct elements to the building. One part focuses on long-term energy use, with large amounts of concrete but highly insulated and built to a good level of airtightness.

The meeting room area of the building was entirely constructed from straw bales, with a clay plaster render on the inside. Some of their members even came along to help with the construction while learning the techniques of building with straw.

Throughout the building they have tried to make as much use as they can of recycled, reclaimed and other materials that have low embodied energy.

Get early advice

Paul would encourage anyone at the beginning of their self build journey to take a look at their website or give them a call to discuss their plans. While they wouldn’t immediately be able to give approval, they might comment on their ideas of budget and whether they think it could be viable for what is being proposed.

In some cases they can be communicating with people for years who haven’t yet found their plot, but the majority of time people will already have a deposit and a plot.

“For us to make a decision, we have to be sure that there is something here which is going to work in terms of energy efficiency or wider environmental considerations, and so it’s hard for us at the outset to give more than a rough picture of what we can contemplate because we don’t know the nature of the building.
For us as a lender, the actual nature of the building, the finished product, is quite important to us. For other lenders, it would be more of a focus on the finances. For us, it’s what the building will achieve.”

During initial discussions they would ask about the techniques and materials the borrower plans to use, and take a view on whether or not they think it’s a project that will work, by getting an understanding of whether the individuals understand those techniques and whether it will work in practice against their budget.

Paul says that a good development has been more borrowers these days employing architects who have a strong knowledge of these techniques.

Payment stages are flexible

Typically, their projects will have staged payments, although they aren’t set at a predetermined, fixed stage. Instead the borrower contacts them to say they’ve done a certain amount of work, at which time they will get it valued and release money against that.

“That introduces a certain level of flexibility. Obviously, internally, we do track and monitor the progress of the building to make sure that it’s remaining on track. And that’s because we’re looking after our members’ money. We’re making sure they’re secure. But within that, we can be quite flexible when those releases will happen to suit the circumstances of the borrower. And that might be that they’re tying into other financial resources as well. They might have monies that are not quite available or whatever, so we’ll take that into account.”

Understand your plot

Paul advises buyers to know their site well, to avoid unexpected costs and delays. Understanding issues with boundaries, hidden structures and general groundworks will be an advantage.

He also recommends a budget contingency of ten percent, which is something they will look for in the costings.

Renovation projects are encouraged

Ecology have a varied client base, but not too many first-time buyers. Those they do get tend to have been gifted a plot or had help with their funding, and more commonly are carrying out renovations.

While Ecology like to support renovation projects, which was mostly their emphasis in the early days, the tendency now has been for more self builds.

“And you can see why, in some respects, because there’s been a lot of development in green building techniques, in products, and you can start with a blank sheet and design in energy efficiency from the start.”

From an environmental point of view, Paul sees the need to improve the existing housing stock. They are working with companies, cooperatives and government departments to find a way they can create models to encourage more people into taking on renovations and retrofits, by providing systems of support and information, and making it easier for people to engage.

Their self build clients tend to already be fairly well informed and have carried out research and engaged with organisations like the Passivhaus Trust or AECB. And for those less well versed they might question certain aspects, for example, whether they need all the renewables when they haven’t really considered insulation.

Another form of construction they are keen to encourage are kit homes that are semi-constructed off-site. They often come with some guarantee of energy efficiency and avoid many of the pitfalls that can occur on site.

Financial benefits for the most energy efficient

Ecology provide discounts for the full term of the mortgage, based on the property’s standard of energy efficiency upon completion, with Passivhaus giving the maximum discount.

Progress is being made

Paul believes in their early days they were lone pioneers, but gradually now they are seeing advances in the green building components industry, with exciting new products and more companies trying to do the right thing.

“So, it’s almost like despite the drift of government policy, business, companies, individuals, cooperatives are leading the way on this because they know it’s not only good for the planet, it’s good for society, it’s creating sustainable jobs, and it is beginning to happen.”

He is also seeing a push on the Green Finance Initiative, looking at ways to increase the flow of funds to green investment products.

Something that Ecology are doing to assist with this is they’re working on a project to create an energy efficiency mortgage model that would be available across Europe. It would enable more mainstream organisations to create preferential financing for mortgages on properties that are making a difference to our carbon footprint.

Find out more

Visit the website of Ecology Building Society

Follow Ecology on Twitter

Transcript

Download a transcript of the interview with Paul Ellis.

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April 17, 2019
HPH222 : How easy is it to buy land at Graven Hill? – with Karen Curtin
With the first phase well under way and residents already moving in, Karen Curtin, Managing Director of Graven Hill Village Development Company, talks through the process of finding and buying a plot at Graven Hill.

Interview with Karen Curtin

Karen Curtin has been in post as Managing Director on a permanent basis since July 2017. When we spoke with her predecessor, Philip Singleton, the first plots were being prepared for release and he gave an overview of the opportunities available and the vision for the scheme. Since then the site has been taking shape with plenty of landscaping, infrastructure going in and the first homes already completed and occupied.

The current masterplan is for 1741 units, with 30% being affordable housing. So far they have sold around 100 of their “Golden Brick” self build plots, 50 affordable housing plots and 30 of their custom product.

Inspiration for the Plot Shop came from the Netherlands

While Graven Hill is a pioneering development in the UK, similar schemes exist elsewhere in the world, most noticeably Almere in the Netherlands. Inspiration for the Plot Shop came from there, with the idea being it could be an information hub providing details about the different products available and offering hints and tips about how to build a home.

The Graven Hill Plot Shop is currently based in Bicester, a short drive away from the development. With so much building work going on there it has been important to consider the health and safety implications of members of the public visiting, but they plan to move the shop to the site once it is safe to do so.

Monthly tours to the site are provided so people can get a feel of what it’s about and see the areas that have plots and houses for sale.

At the Plot Shop a floor map shows all of the residential plots that are for sale, colour-coded to indicate the size and whether they are allocated for Golden Brick or custom projects. The map shows the plot locations (with some locations having different design flexibilities in terms of getting planning compliance within 28 days), notional house types with the number of bedrooms possible, the size of the plot and the maximum gross internal area.

The sales team are able to tell you what the foundation type is for any given plot and provide a land price, but not advise how much the Golden Brick will actually cost. Until they know what the building design will be they won’t have the structural calculations to know how much it will cost to support the structure. Not knowing the Golden Brick price on reservation can be challenging for buyers, but the team are working on a product where they can offer a combined price for land, Golden Brick and superstructure.

Golden Bricks are sold as serviced pieces of land

Often an expensive element of building from scratch can be connecting the utilities to the site. At Graven Hill the services are delivered to the edge of the boundary where they can be brought into the property as required. Also included in the purchase of the land is the foundation for the design, the warranty and insurances, with the added benefit of having no VAT to pay.

In order to streamline the planning process, purchasers are provided with a Plot Passport which lists the freedoms and constraints of the plot design. If the design is compliant, planning permission can be guaranteed within 28 days. Projects which don’t fulfill the Plot Passport criteria are allocated a Delivery Liaison Manager to offer advice and navigate the process through the reserved matters route.

A beautiful village community of like-minded people

Key to the success of the development is making a community where people want to live. The site has areas of mature woodland which are being retained along with plenty of green open spaces.

On the village green will be a pub and there will be a school opening in 2020/21. There will be a retail area which might have a supermarket, coffee shop, health provision and smaller offices, and in Phase 2 there will be a million square feet of commercial space made available.

Customers need to be fully educated about how the process works

Part of the job of the sales team at the Plot Shop is to ensure that customers are fully educated about the process before making the purchase. They usually work with purchasers for around four to eight weeks getting them ready to be able to buy a Golden Brick plot. This will include making sure they are financially qualified and have engaged with suppliers to fully know what they’re doing, how much it’s going to cost, and the timescales in which things take place.

Timescales are of great importance

Once a plot has been reserved a purchaser has seven months to get to the position where they can exchange, then four to eight weeks before the foundation is delivered, and a further two years to complete the build.

The timescales are important to ensure that people aren’t continually living amongst building sites, with plots only being released in phases to ensure projects are moving along at a similar pace.

“The important thing for me is that I want people to come and live on Graven Hill and know that whilst they are like-minded people building their own houses, wanting to live on a unique community such as Graven Hill, there is a point where you want to be able to sit in your garden, have a glass of wine, look at the hillside and not see cranes and not hear people doing brickwork or landscaping work. So, that importance for me is about bringing that phasing on at the right space and time.”

Experience from Phase 1 will feed into Phase 2 design

When it comes to delivering Phase 2, careful consideration will be given as to what has sold well and been most popular in Phase 1. So far the plots that have sold best have been the larger plots and also the one and two bedroom plots, with the three bedroom ones being a bit slower to go. Everything learnt from the pioneers, Phase 1A and 1B, will feed into probably delivering an altered masterplan for Phase 2.

Financial advice is available

Like other developers, all of the finished products are eligible for the Help to Buy scheme. Karen says they are also lobbying the government to consider a Help to Build fund for people wanting to build their own house.

Graven Hill have been working with BuildStore to make sure there’s a lender panel available there, along with independent financial consultants who can give advice. BuildStore also oversee the financial qualification process. This checks that if you’re a cash buyer you have the money to go forward with the transaction, or if you need to get a mortgage then you have to have a decision in principle, to ensure you have the funds to not only buy the land and the Golden Brick, but also complete the build.

Health and safety on site has been one of the biggest challenges

On a traditional site, members of the public are kept away until the houses are ready and can be moved into. With houses here working to different schedules and owners being responsible for their own plots, there has had to be a very strong health and safety presence.

“It’s one of the most important things to me because in order for a site like this to work, everybody’s got to comply. That’s from wearing PPE to driving around the site at the right speed limits, making sure they book their deliveries because what we don’t want is three or four cranes on site at the same time.”

More whistles and bells on the houses!

Karen explains that with the saved equity from self building and cutting out the developer, rather than focussing on it being 20% cheaper, people often end up using that money to pay for premium finishes as they intend to live there longer than they might have done on a traditionally built site.

Register with Right to Build

Local authorities are required to research demand and maintain a list of people wanting self build plots in their area, and make plots available. Karen encourages people to register their interest in self build with their local authority to make sure that enough land is being made available to meet demand.

Find out more

Visit the website of Graven Hill

Follow Graven Hill on Twitter

Find out more about the Right to Build register

Transcript

Download a transcript of the interview with Karen Curtin.

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August 15, 2018
HPH120 : What is a self build mortgage? – with Thomas Honour of BuildStore
Thomas Honour, mortgage adviser at BuildStore, explains the self build mortgage process.

Interview with Thomas Honour

In this interview we’ve returned to the National Self Build and Renovation Centre (NSBRC), this time to chat with Thomas Honour who works as an adviser with BuildStore mortgage services. BuildStore specialise in finance for projects, so self builds, custom builds, renovations etc. They have had a presence at the NSBRC since it opened, with a permanent base there for mortgage advisers who also contribute to the seminars on finance.

Consult a mortgage adviser at an early stage

This will help you to ascertain your borrowing capacity and determine whether your budget for the plot and build is is likely to be realistic.

Salary is the single most important factor in determining available finance, but other considerations will include things like ongoing credit commitments, childcare costs and any other significant outgoings.

Each lender is very different but typically they will apply an income multiplier of between 4 and 4.25 times the joint household income, with some treating bonus and overtime payments differently.

There are two different types of self build mortgage product

The main difference between a self build mortgage and a conventional mortgage is the way in which the funds are released. With a conventional mortgage you receive the funds in a lump sum, which together with your deposit, you use to purchase the property.

With self build mortgages the money is released typically in four or five stages, over two phases. The first phase is releasing money to purchase the plot and the second phase releases money to finance the build.

The traditional self build product provides money in arrears of the stage being completed. This works well for people that have larger deposits or who own the land, as they are putting in their own money upfront with the lender giving the money in arrears on completion.

Construction types such as insulated concrete formwork (ICF), structurally insulated panels (SIPs) and timber frame however often require a much larger payment to the manufacturer early in the project. BuildStore have designed their “Accelerator” product to mitigate these cash flow difficulties by giving the money in advance of each stage.

Your mortgage broker has a duty of care to ensure your mortgage is affordable to you

The mortgage broker and lender will work together to ensure that your build costs are reasonable and that they’re going to be plausible for the type of project that you are doing. This aims to prevent the need for anyone to return mid-project requesting more funds, with no guarantee they will be provided, and will likely cause delays.

On rare occasions people do return requesting additional funds. An additional loan known as a “further advance” or “additional advance” can be applied for to make sure that the build can be completed, subject to underwriting from the lender.

It’s important that budgets are broken down in detail. Sometimes people may not have considered contingencies and additional expenses such as architect fees, stamp duty on land, site insurance and structural warranties. A mortgage broker would rather decline an application upfront than put them in a position where they have a project they can’t complete because they don’t have enough money.

It is worth bearing in mind that most lenders will have some sort of caveat that the build must be completed within two years.

Since the mortgage market review by the regulator a couple of years ago there is a greater burden on the lender to ensure they are lending responsibly. While Thomas believes that this is right and should be the case, some of their affordability criteria does limit the amount that people can borrow which means they may need to put more down as a deposit.

There are costs to setting up a self build mortgage

This will vary from lender to lender but as with standard mortgages there will be costs to get it set up. These may include:
- An arrangement fee – most lenders will charge this as standard on any type of mortgage
- Valuation fee – this will value the plot based on its value at the time and what you’re paying for it. They will also give an end value based on what you’re planning to build and what they think it will be worth when completed. There is also a reinstatement value for site insurance purposes.
- Additional fees – some lenders may charge booking fees which are all quite similar but may be named differently.
The job of your broker is to ensure you’re aware of all the fees upfront to know what they are, what they cover, what they’re costing you and when they’re due.

A bridging facility may be suitable for people that have assets but a low income

Thomas uses the example of someone with a house worth £500,000 but a pension income of £10,000, but wanting to borrow more than a typical mortgage would allow them on that income.

Potentially there can be bridging finance secured against the existing home which would enable them to build their house. Money from the sale of their old home can then pay off the bridging facility.

Not all lenders will lend on all construction types

Non-standard constructions can be funded, however “non-standard” means different things to different lenders, so your mortgage broker will find a lender that is suitable for your project. Even timber frame, steel frame, SIPs and ICF constructions are considered non-standard by some lenders.

The reason why some lenders won’t lend on less traditional buildings is largely down to re-saleability. The lender is always thinking about if they had to take possession of the property how easy it would be to sell. For properties that might be an acquired taste they will be worried they may not get their money back.

The larger the deposit, the more favourable the interest rates

Typically the minimum deposit required will be around 10% of the overall project costs. The project cost is the combined land and build costs.

For someone that already owns the land outright, the value of the plot can be used as the deposit contribution, i.e. owning a plot with a value of £50,000 will provide £50,000 towards the deposit.

A larger deposit will give more favourable interest rates and may make more lenders available to you.

Find out more

Visit the BuildStore website

Follow BuildStore on Twitter

Transcript

Download a transcript of the interview with Thomas Honour.

The Hub update

We’d like to tell you a little bit about The Hub – what it is and why we’re doing it.

Support: A self build project can be a long journey so the community side of The Hub is a place to learn from others and be inspired by them.

Information: We’re already providing lots of information with our podcasts and videos on YouTube, but this is going a step further by trying to refine and organise it, making a step by step and easy to understand guide of what’s involved in a self build.

Videos: There’s huge potential for learning by video and here at Regen Media it’s what we specialise in.

As content creators and communicators, we can do much more, not only in The Hub, but also by adding free content and perhaps help other people to achieve more and spread their messages further. If we can save you time and money by making The Hub work, then hopefully you’re paying for a resource that you’re happy with and which is giving us more funds that we can use to create in other areas.

Please connect with me
- Subscribe, rate and review the podcast in iTunes
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March 16, 2016
HPH101 : 5 Common Traits of Self-Builders – with Dr Michaela Benson from Goldsmiths
Following a recent exhibition of her research project, sociologist Michaela Benson talks us through the traits that self-builders commonly have.

Interview with Dr Michaela Benson

Michaela Benson is a Senior Lecturer in the Department of Sociology at Goldsmiths, University of London. She has spent the last three years working on a research project called ‘Self-Building – The Production and Consumption of New Homes From the Perspective of Households’. She wanted to understand the diversity of the houses people build, their motivations for doing it and their experiences of the process. Her interviews with twenty individual self-builders and five group projects during that time have led her to notice characteristics that these people share. She explains five of them to us.

1. Having Two Different Skill Sets – Practical and Organisational

Michaela explains that this could be within one individual self-builder or shared within a couple where one person has the practical abilities and the other has the organisational skills. Many of the people in the study were engineers, while often they also had experience of managing other people too.

Self-awareness of their organisational skills was often a reason why people chose to project manage the process themselves, and to try and save money. Michaela stresses however that the size of this challenge shouldn’t be underestimated, as it’s not just about managing the budget, but also about having your procurement and tradespeople lined up at the right time. The times when this worked most successfully were when the self-builder already had experience of the construction process, usually from working in related professions.

2. Acquired Knowledge Through Previous Projects

In many cases, the self-builders had built up their knowledge by undertaking extensive renovations or extension projects. Michaela particularly noticed this in a number of the 50+ age group, who had worked their way up the housing ladder by taking on properties which had needed considerable work. “So they built up their property assets that way, but they’d also built up their practical experience of working on houses.”

From a sociological perspective it highlights the role that property assets play in self-build. Michaela states that it is very difficult to embark on the self-build process unless you already have significant property assets or savings, perhaps explaining why it can be more difficult for younger generations. She often came across people who, not through being unrealistic about their budget, had periods of financial difficulty throughout. This was more to do with having a cash flow available at the same time as being needed for procurement. “It’s to do with the fact that the cash flow on a project often requires more money at a point in time than you actually have in the bank at that moment, because of the draw downs on the mortgage.”

3. A Heightened Level of Involvement and Understanding of Their Project

Michaela explains that for many people there was a fascination in knowing exactly how things worked and proudly demonstrating it to others. Being so heavily involved in their build they would tend to have a keen attention to detail.

“It’s not just building a house, it’s actually a learning process that they’re engaging in.”

And for some, it was learning on a professional level that would assist in their careers. Michaela tells of one self-builder who was a planner wanting to become a consultant in energy-efficient buildings. For her the project was about building a house for herself, but also developing her professional identity and learning through her own experience so that she could help to advise others.

Many of the buildings operated at a high level of energy efficiency, with some motivated by a desire to be conscious about the planet, while for others it was more future proofing their house against higher energy bills.

4. High Levels of Determination and Motivation

A lot of the people in the research project were very highly motivated. And they needed to be! Without their constant pushing to drive their builds forward they wouldn’t get to the end. Michaela explains that even with sufficient time and funds the process can be extremely challenging and demotivating, and a lot of emotional support is required.

Michaela feels that something a lot of people underestimated in their self-builds was the importance of managing social relationships, within families and also with the management of people coming onto the site.

“You can understand if you’re building your own house you’re building your home, you’re highly invested in that and when a series of little things go wrong it’s quite painful.”

The custom-build sector can offer some of the support by taking away many of those people management jobs from the self-builder. Michaela explains that some of the people working in that sector have experience of community projects so have had to learn to maintain relationships with the wider community in the past.

5. A Keenness to Trace Back The Routes of Their Skills and Ambitions

Michaela explains that often people would trace back the desire to build their own house stemming from having an interest since childhood, whether that be through building Lego or Meccano houses, or drawing their dream home.

Also she would hear people describe how they learned practical skills from their family members while growing up, bringing them to the point where eventually they would self-build. In both cases, they were very clear that their interest in self-building related back to something.

The Process can Taint the Outcome

Some of the people in the research had been exhausted by their self-build experience and felt that moving in was an anti-climax. While being pleased with their house they had been unhappy with elements of the process. Some talked of having decision-making fatigue. Generally they were building houses that they were happy to live in, though perhaps because of their involvement and in-depth knowledge of the projects they sometimes came across with negativity about some aspects.

“But overall I think that people are quite positive about the houses, if not the experience.”

Find Out More

Follow Dr Michaela Benson on Twitter

Read Dr Michaela Benson’s Blog

Transcript

Download a transcript of the interview with Dr Michaela Benson.

Please Connect With Me
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September 30, 2015