A standard rating for new build homes could help buyers gain reduced mortgages and cheaper building insurance rates…
A new five-star rating standard for new build homes could lower mortgages and provide cheaper insurance.
The Home Quality Mark (HQM), an independent rating standard, aims to help new homebuyers, and is currently in the process of liaising with mortgage providers and insurance firms.
The initiative will benefit customers who purchase HQM accredited properties. This could help homebuyers saved hundreds of pounds a year on their mortgage and building insurance rates. It is hope this will encourage people to consider purchasing or renting properties that are better designed, healthier, smarter, and cheaper to run.
The HQM scheme is provided by building research organisation BRE, which aims to provide financial benefits to the 65 per cent of consumers who consider sustainable features a vital factor when purchasing a home. BRE said HQM certified homes could be 50 per cent more energy efficient than the average existing property.
BRE’s New Homes and Communities Team Leader & Home Quality Mark (HQM) Project Lead Gwyn Roberts said: “HQM aims to encourage the design and build of high quality properties that promote healthier, cheaper and more sustainable living.
“This is a key priority as demonstrated by the latest figures from Redrow Homes, which show that 63 per cent of people would be more likely to buy a sustainable home[1].
“We are working with mortgage providers and insurance companies to encourage the setting of preferential mortgage and buildings insurance rates for those buying HQM accredited homes.
“With the UK government incentivising new builds, and pledging to build a million more in the next five years[2], it is important that buyers have access to a clear, comprehensive and easily understood national housing standard that gives them confidence that the home they are buying or renting is well designed, healthy and cheap to run. HQM fulfils that role to ensure consumers can make an informed decision about the new home they buy or rent.”
References:
[1] Redrow Homes, March 2016
[2] Gov.uk, September 2015