Better protection urgently needed for UK new-build home buyers

Published 07th Sep 2007

Consumers have more rights when they buy a kettle than a newly built home, according to the latest paper from the National Consumer Council.

Many people face delays when moving in and have to pay for rented accommodation; others get poor after-sales service; and as many as 90 per cent of people are left with snagging problems such as faulty wiring, badly fitting doors or leaking windows when they buy a new property.

But outdated laws are not geared up to help home owners put things right when things go wrong.

In a response to the Office of Fair Trading (OFT) study into new-build housing, the NCC is calling for a radical shake-up in the way that the new build-housing market is regulated, to ensure that UK home owners get the protection they need.

Carl Belgrove, at the NCC, said: “Buying a house is probably one of the most expensive investments a person will ever make, yet people have more rights when they buy a kettle. Late completion can be a nightmare for many families as they find themselves out-of-pocket paying rent and storing furniture while they wait to move into their new home.

Others face a battle to sort out snagging problems.
“With government planning to build three million new homes it’s vital that measures are put in place now to protect home owners of the future.”

The report revealed how consumer satisfaction with new homes is on the decline. More than a quarter of new-build property developments are of ‘poor’ quality and one in four buyers would not recommend their house builder to a friend.

The NCC is calling for statutory protection, similar to the Sale of Goods Act 1979, to protect buyers when things go wrong.

This should be coupled with the introduction of an OFT-approved cost of conduct for builders and developers which would give consumers clear information before contracts are signed. It should also ensure that completion dates are accurate and provide a user-friendly complaints procedure.
By Jennifer Lowe

Source: ' What Mortgage '

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