New permitted development rules create opportunities for brokers
The Government announcement to extend permitted development rules, which enable a number of changes to be made to properties without planning permission, will create new opportunity for brokers, according to Oblix Capital.
First introduced as a temporary measure in 2013, permitted development rights were due to come to an end this May. Amongst other things, the rules allow single-storey rear extensions up to six metres beyond the original house for terraced or semi-detached homes, or eight metres for detached homes, without a full planning application. More than 110,000 extensions have been completed under the rules and Housing Minister, Kit Malthouse, has confirmed that the legislation will now be made permanent.
Andy Reid, pictured, Sales Director at Oblix Capital, said:
“The Government has said that it has made permitted development rights a permanent measure to help families extend their properties without battling through time-consuming red tape, but it will also be a boost to the bridging market.
“We have already seen growth in demand for refurbishment finance from investors who have identified the benefits of increasing rental income and capital values by renovating and extending run-down property and this move will extend the opportunity for investors to add value without being tied up in planning applications. This is good news for property investors and good news for brokers, but it is also good news for tenants and home buyers as it will help to increase the quality of available housing stock.”