Disadvantages of buying a house before building?

Kara1994

Hi all,

My partner and I are planning on building a house, but we are discussing buying a property first, living in it for a few years, and then selling before building. We understand that the deposit for our second house (the self-build) would be 20%. Since we would likely be buying a house which was previously lived in we also wouldn't qualify for Help-to-buy in both cases. We are wondering if there are any other disadvantages of buying a house prior to building.

Thanks for all of your replies

JimmyMW

Kara1994 wrote: »

Hi all,

My partner and I are planning on building a house, but we are discussing buying a property first, living in it for a few years, and then selling before building. We understand that the deposit for our second house (the self-build) would be 20%. Since we would likely be buying a house which was previously lived in we also wouldn't qualify for Help-to-buy in both cases. We are wondering if there are any other disadvantages of buying a house prior to building.

Thanks for all of your replies

Depending on the planning restrictions in the area you wish to build, it may affect your chances of getting planning. For example if your zoning requires a local housing need and you already own a house within a reasonable distance you wont qualify for the exemption to get planning.

heroics

JimmyMW wrote: »

Depending on the planning restrictions in the area you wish to build, it may affect your chances of getting planning. For example if your zoning requires a local housing need and you already own a house within a reasonable distance you wont qualify for the exemption to get planning.

This +1.
I bought a small apartment when I was in early 20s. Got married had kids and was refused planning on a house as I already had a property and therefore didn't qualify for the exemption.