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Infinity Planning looks at the decrease in house prices that have been recently reported, and the effect that will have on the housing market

The cooling of the housing market: What happens next?

The cooling of the housing market: What happens next?

In the ever-shifting landscape of real estate, few markets capture the world’s attention quite like London. Long known for its sky-high property prices, the city has been a beacon for investors, homeowners, and dreamers alike. However, recent headlines from the Office for National Statistic’s House Price Index have sent shockwaves through the British capital’s housing market, as the once-soaring prices of London properties are beginning to show major signs of change.

The news of London’s price drop is more than just a headline; it’s a signal of significant changes in the UK’s housing market. In this article, we’ll delve into the factors contributing to this cooling trend, explore its implications, and dissect what it all means for both current homeowners and those hoping to break into the property scene.

Infinity Planning looks at the decrease in house prices that have been recently reported, and the effect that will have on the housing market

When housing prices start to drop, several general trends and consequences typically occur:

1. Decreased Demand: As prices fall, potential buyers may hold off on purchasing homes in anticipation of further declines, or further negotiation leading to a cyclical situation of ever-decreasing prices. This decreased demand can lead to a surplus of available properties.

2. Longer Time on Market: Homes tend to stay on the market for a longer period when prices are declining, which has already been noted. Sellers may need to reduce their asking prices or offer incentives to attract buyers.

3. Price Reductions: Sellers often lower their asking prices to remain competitive, resulting in a downward pressure on property values.

4. Negative Equity: Homeowners who purchased their properties with high mortgages may find themselves in a situation of negative equity, where the outstanding mortgage balance exceeds the current market value of the home.

5. Repossession: In severe cases, homeowners facing financial distress may be unable to make their mortgage payments, leading to repossessions and subsequent sales. These distressed properties can further depress prices in the market.

6. Impact on Builders and Developers: Falling prices can also affect new construction projects. Developers may delay or cancel new developments if the market is oversaturated with unsold properties.

7. Tightened Credit: Lenders may become more cautious, tightening lending standards and requiring larger down payments, which can further reduce demand for housing.

8. Economic Effects: A declining housing market can have broader economic implications, potentially leading to reduced consumer spending and economic slowdowns in regions heavily dependent on property.

It’s important to note that the dynamics of a housing market can vary widely based on local factors, such as supply and demand, economic conditions, and government policies. A gradual decline in prices may not necessarily lead to a housing market crash, and some markets may recover more quickly than others.

Housing market decline and its effect on improvement projects

In the midst of a cooling housing market, where property prices are dropping, the dynamics of property economics undergo a significant transformation. Whilst for prospective homebuyers, this shift may bring opportunities, for existing homeowners, especially those contemplating home improvements or renovations, navigating this changing landscape can be a double-edged sword.

On one hand, declining property prices can create a financial challenge for homeowners who had hoped to tap into the equity of their homes to fund renovations or upgrades. The reduced market value of their properties can limit their borrowing power and leave them with less equity to leverage for home improvement projects. This may necessitate reevaluating renovation plans, scaling them down, or seeking alternative financing options.

On the other hand, a cooling housing market can present unique opportunities for savvy homeowners. With prices in decline, the cost of materials and labour for home improvements may become more competitive. The post-COVID-19 landscape is still seeing vastly inflated materials costs. Skilled contractors and builders may be more willing to negotiate on pricing, potentially resulting in cost savings for homeowners looking to enhance their properties. Additionally, lower interest rates, often associated with a slowing housing market, can make home equity loans/mortgages or refinancing more affordable, providing a means to finance renovation projects.

Naturally the slowing of the market means the prospect of entering the market becomes less attractive in itself. These changes to the marketplace often result in more homeowners seeking to improve their existing surroundings, extend their home through extensions or loft conversions rather than face the prospect of a potentially turbulent sales process.

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In this evolving housing market, existing homeowners must carefully weigh their options, considering the impact of falling property prices on their renovation plans and the potential long-term benefits of enhancing their homes in a market that is poised for future recovery. If you’re looking to either extend your home, refurbish or even add a loft conversion, speak to Infinity Planning either by calling 0800 148 8088, or completing the contact form below. We will be only too happy to assist you in formulating a more comprehensive plan, considering all of the options.

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Infinity Planning looks at the problems around Reinforced Autoclaved Aerated Concrete (RAAC) and its use within domestic properties.

RAAC and Ruin? A guide to RAAC in the home

RAAC and Ruin? A guide to RAAC in the home

RAAC, which stands for Reinforced Autoclaved Aerated Concrete, has been a prominent topic in the construction industry for several years, but last week hit the headlines with the closure of around 150 schools just days before reopening for the new school year.

A huge snowball effect is unfolding due to its widespread use between the 1950s and 1990s, with fears of even wider reaching consequences than first thought.

Whilst the current public outcry is focusing on schools, and to a lesser extent hospitals, what are the impacts of RAAC on your home? Here we look at the substance, and the realities of living with this questionable construction material.

Infinity Planning looks at the problems around Reinforced Autoclaved Aerated Concrete (RAAC) and its use within domestic properties.

RAAC – What’s the problem?

Many buildings dating from the 1950s to the 1980s incorporate this material into their structures. Unfortunately, its deterioration has led to structural failures in numerous buildings, both in the UK and abroad. Some of these incidents have had catastrophic consequences.

These concerns have prompted a comprehensive review of RAAC and its applications in UK buildings which we are currently watching unfold. The NHS estimates that repairing thirty hospitals could cost approximately £1 billion. Moreover, it is believed that approximately 1,500 schools were constructed using it during its peak usage. To a lesser degree, RAAC has been used in domestic construction, although its usage in this areas is believed to be far less widespread.

What is RAAC?

Reinforced Autoclaved Aerated Concrete (RAAC) was the poster-child material of 1950s construction, and offered a versatile, eco-conscious building material. Its rise to prominence was driven by its unique attributes; including its lightweight nature, exceptional thermal insulation properties, and environmentally friendly characteristics.

The origins of Autoclaved Aerated Concrete (AAC) trace back to the early 20th century, with its initial invention dating to the 1920s in Sweden. AAC quickly garnered attention across Europe due to its low density and user-friendly qualities. As time progressed, innovations paved the way for the evolution of Reinforced Autoclaved Aerated Concrete, incorporating steel reinforcement to bolster its structural integrity. The manufacturing process of RAAC involves blending cement, sand, lime, and aluminium powder with water, resulting in a robust yet lightweight porous material. Despite its name, it isn’t truly “concrete.”

RAAC has found extensive use in Europe, Asia, and Australia. Thanks to continuous enhancements and refinements over the years, RAAC has emerged as one of the construction industry’s most sought-after building materials.

The problem with RAAC

The production of substantial Reinforced Autoclaved Aerated Concrete planks involves a “foaming” procedure, incorporating silicate and calcareous chemicals along with bulking and accelerating agents. It is this ‘foam’ that the UK press have referred to the ‘Aero-like texture’ of RAAC. This foamy substance is intentionally created to adhere to the reinforcement, ensuring its structural integrity.

Nonetheless, planks can experience deflection (bending) between their support points due to various environmental factors, including loading, moisture infiltration, and thermal or carbon influences. Deflection has the potential to induce cracks, particularly in areas of the AAC material subjected to excessive stress or where it falters around the reinforcement. These fissures also permit moisture infiltration, which, in turn, can weaken the reinforcement itself.

RAAC was thought to have a life span of around 30 years. Whilst the most recent construction using RAAC stopped in the 1990s – which is just ‘coming of age’, much of the UK’s building stock utilising this material is significantly older.

As these planks degrade and potentially deflect more and more, they are weakened. This can ultimately lead to them fail entirely, with potentially dire consequences such as Singlewell Primary School in Kent, which collapsed in 2018.

Risks associated with Reinforced Autoclaved Aerated Concrete

The formulation and production of Reinforced Autoclaved Aerated Concrete introduce various risks to structures, including:

  1. Structural Integrity: Although RAAC is recognised for its strength and durability, its structural integrity can be compromised due to design, construction, or improper reinforcement installation. In rare instances, this could result in structural issues such as wall, floor, or roof cracks or, in extreme cases, even collapse. These occurrences can pose significant dangers to occupants and neighboring properties.

  2. Fire Resistance: While RAAC possesses inherent fire-resistant qualities, its precise composition and the presence of organic binders can influence its fire performance. The use of subpar or low-quality RAAC may not offer sufficient fire protection, potentially putting building occupants and nearby structures at risk.

  3. Moisture and Water Damage: RAAC is susceptible to moisture infiltration if not adequately sealed or shielded. The ingress of water can trigger material deterioration, weakening the overall structure over time. This deterioration can lead to the growth of mould, degradation of surface finishes, and potential health hazards for building occupants.

The likelihood of finding RAAC in my home

The likelihood of finding RAAC in your home depends very much on the type of dwelling you own. Generally speaking, the likelihood of finding RAAC within a standard-construction house – be it detached, semi-detached or within a terrace is fairly low.

RAAC, from the typical examples of usage being schools and hospitals tended to be utilised within the construction of larger buildings. It is therefore reasonable to suspect that larger blocks of flats; especially those with flat roofs, may be more likely to feature RAAC. It is therefore anticipated that RAAC has been widely used within larger blocks of social housing constructed within that period of the 1950s-1990s.

What to do if I think I have RAAC in my home

While significant incidents involving Reinforced Autoclaved Aerated Concrete (RAAC) have occurred, it is crucial to emphasise that proper management can effectively mitigate its risks, provided that the material is well-maintained and not allowed to deteriorate significantly. To minimise the potential hazards associated with RAAC construction, the following measures should be put into practice:

  1. Proper Design and Engineering: Engage experienced surveyors, structural engineers, and contractors well-versed in RAAC construction to evaluate existing RAAC structures. Conduct thorough structural analyses and implement necessary reinforcements to ensure the building’s stability and safety.

  2. Quality Assurance: Utilise high-quality reinforcement materials and construction methods to ensure the safety of RAAC where found. Implement routine inspections and testing to guarantee compliance with industry standards.

  3. Fire Protection Measures: Strictly adhere to fire safety regulations and apply suitable fire-resistant coatings or treatments to enhance the fire performance of RAAC structures. Additionally, install fire alarms and if appropriate sprinkler systems and evacuation plans to minimise fire-related risks.

  4. Moisture Management: Incorporate comprehensive waterproofing measures during construction, with particular attention to joints, openings, and vulnerable areas susceptible to moisture infiltration. Regular maintenance and inspections should identify and rectify any signs of water damage, including the assessment of roof coverings to prevent leaks that could compromise the RAAC structure’s integrity.

RAAC, despite its inherent advantages, also presents significant risks that demand attention to ensure the safety of both properties and occupants. Given its prevalence in UK construction, whilst it’s not believed to be too commonly used in single dwellings, care must be taken to ensure you understand your property, and where relevant ensure that diligent maintenance and mitigation measures are used to substantially reduce the associated risks.

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RAAC is undoubtedly a huge talking point within the press throughout the UK. And justly so.

Infinity Planning understand the levels of anxiety being caused by this problem. Whilst the first port of call should be a structural engineer or chartered building surveyor, Infinity Planning will endeavour to assist wherever possibly. Simply call 0800 148 8088 or complete the form below:

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Obtaining Planning Permission in Essex and Suffolk – the basics

Obtaining Planning Permission in Essex and Suffolk – the basics

Obtaining Planning Permission is a legal requirement for most development work in North Essex and South Suffolk. The process can be complex and time-consuming, so it’s important to get professional advice from professionals who understand the local planning regulations.

In this guide, we’ll walk you through the basics of obtaining planning permission, from understanding the different types of permission available to submitting your application. We’ll also provide tips on how to increase your chances of success.

Whether you’re planning to build a new house or extend your home, we can help you get the planning permission you need.

Infinity Planning can support homeowners in obtaining planning permission in North Essex and South Suffolk.

Planning permission is a legal requirement for most building work and changes of use in England and Wales. It is granted by the local planning authority, which is usually the district or borough council in which you live.

In North Essex and South Suffolk, the main planning authorities are:

Essex

Suffolk

Types of Planning Permission

There are different types of planning permission available, depending on the scale and nature of the development. The most common types are:

  • Full planning permission: This is required for major developments, such as new houses or extensions

  • Outline planning permission: This is granted for the principle of a development, but the details are left to be decided later

  • Permission in principle: This is a new type of planning permission that is being introduced in England. It is similar to outline planning permission, but it is more flexible and can be granted for a wider range of developments

  • Neighbourhood planning: This is a process by which local communities can develop their own planning policies. If your development is in line with a neighbourhood plan, you are more likely to get planning permission

In addition to these forms of planning permission, your scheme may actually not require planning permission under the rights of permitted development, which allow improvement and extension of homes without the need to make a planning application.

To find out if you need planning permission, you can check the government’s planning portal or speak to your local planning authority for advice. Of course, Infinity Planning would be happy to advise, and you can simply contact us to find out more.

Timescales for obtaining Planning Permission

The timescale for obtaining planning permission in Essex and Suffolk is typically around 8 weeks for a standard application. Naturally, this can take longer for more complex applications.

Any objections by neighbours or other agencies may slow down the process as well.

Costs for obtaining Planning Permission

The cost of planning permission varies depending on the type of development and the size of the site. Across England, the fees for planning applications are set centrally in London.

Householder Planning Application

These cover a wide range of works that you might wish to do to your home (or within the curtilage of your home) – including, but not limited to:

  • Extensions
  • Loft conversions
  • New fencing
  • Garden studios etc.
  • Anything not covered under permitted development

You would expect to pay £206 to apply for a Householder Planning Application.

New Home Planning Application

Planning applications to build entirely new homes attract a more significant fee of £462 per property or per 0.1 hectare. This applies to schemes of up to 50 dwellings, after which additional costs are introduced.

In the case of new homes, if outline planning permission is sought (maybe to test the water of your design), a secondary charge for obtaining full planning permission will be chargeable.

The process of obtaining Planning Permission

As you’ve probably gathered, the process of obtaining Planning Permission is not always straightforward. However, in working with professionals such as Infinity Planning, all of the necessary steps, and juggling and preparation of the myriad information that is required can be managed on your behalf. 

These are the key steps involved in obtaining planning permission:

  1. Gather information and evidence. This will include things like site plans, architectural drawings, and environmental impact assessments

  2. Submit a planning application to your local planning authority

  3. The planning authority will assess your application and decide whether to grant permission

  4. If your application is granted, you will be issued with a planning permission certificate

  5. You can then start work on your development

If your application is refused, you have the right to appeal the decision, which might involve attending additional meetings with the planning authority, other interested parties and undertaking additional work or investigations (which may also attract additional costs).

The benefits of using a planning professional

Employing the services of a planning professional such as Infinity Planning will undoubtedly help you increase your chances of getting planning permission by. There a numerous reasons for this, including:

  • We understand the local planning policies and will make sure your designs are in line with them

  • We will work with you to ensure that your plans are realistic and achievable

  • We will help you consult appropriately with neighbours and other agencies
  • We will prepare a clear and concise planning application that includes all the necessary information

  • We will liaise with the local planning authority throughout the process on your behalf alleviating the stresses associated with planning applications.

By working collaboratively with you, providing professional advice and support, we can help you efficiently navigate the planning process and get the permission you need.

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Obtaining planning permission can be a complex process, but it is essential if you want to carry out more significant building work or even build a new home. By following these tips, and employing a professional company such as Infinity Planning, you can dramatically increase your chances of getting the permission you need.

Please contact us by phone on 0800 148 8088 or by completing the form below:

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