More than a fifth (21 per cent) of homeowners plan to make
significant structural improvements to their home in the
coming 12 months, a new study from Sainsbury's Bank has
suggested.
The group notes that the slowdown in the housing market may
be having a marked effect on people's home improvement
plans, with many looking to boost the value of their home
rather than risk moving. And it seems people are willing to
spend large sums to add equity to their current property,
with an average home refurbishment spend of 17,361 pounds
for those planning to make improvements. Of those intending
to embark on such projects nearly a fifth (19 per cent)
said they intended to spend more than 20,000 pounds.
For those looking to find an effective way to fund
substantial property renovation, taking out a home
improvement loan may be of assistance. In choosing this
sort of loan, consumers may find they have the necessary
capital to hire professional tradespeople to make sure the
job is done right, thereby reducing the risk of making a
home insurance claim.
Doing so may be of particular interest to the one per cent
of respondents who said they intend to spend between
100,000 and 200,000 pounds on major refurbishment and
structural development to their property in the coming
year. Regardless of overall spend, Sainsbury's urged all
homeowners to check with their insurer before commencing
work that will affect the structural layout of their
property. The group reported that a failure to do so could
result in them invalidating their policy and being left
without cover. Results from the firm suggest that as many
as a third (33 per cent) were unaware of the fact that
neglecting to do so could put them in such a position.
Neil Laird, home insurance manager at Sainsbury's Finance,
said: "In the current housing climate, creating extra space
in your home is another option for those who have maybe
decided to put their plans to move on hold. But, as
buildings insurance premiums are calculated based on the
type of house, for example the number of bedrooms it has,
creating extra rooms can have an impact on your premium
even if you have unlimited cover. We want to make sure that
homeowners are aware that they could be left underinsured
or even invalidate their insurance entirely in the event of
an incident during or after the works if they have not
informed their insurer first."
In a breakdown of the work scheduled in British homes in
the next 12 months, Sainsbury's Bank suggested that as many
as 1,344,000 people are planning a loft or roof conversion,
while a further 1,186,000 intend to erect a conservatory.
Rear extensions are a priority for 949,000 and 713,000 want
to build a garage extension. For those looking for
effective ways to fund such structural overhauls, taking
out a home improvement loan may provide an effective way to
meet the costs of development.
An earlier report from Alliance & Leicester Personal Loans
revealed that many Britons are finding inspiration in DIY
programmes such as Changing Rooms, Grand Designs and 60
Minute Makeover. The group added that such projects can
have more than an aesthetic impact on the house, with home
renovations said to add as much as 10,000 pounds to the
value of a house.
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Abbi Rouse writes for AllAboutLoans.co.uk, an online loans
comparison site, visit us today for information on all loan
topics including cheap loans applications and loans
sourcing from all leading UK providers. Our Site:
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