DIYers hope to add £5k to property value
June 11, 2007 by admin
Filed under News, News-Mortgages
More and more of us are carrying out home improvements, with the majority doing so to increase the value of our property.
New research by Halifax shows that people with a mortgage are becoming more active when it comes to DIY and over a quarter of us believe that the work we have carried out in the past 12 months will add £5,000 to the price of our homes.
Home improvements have increased in popularity in the last year, with 58 per cent of homeowners having carried out some work – 12 per cent higher than the previous year.
In addition, young homeowners are doing more work, with redecorating still the most popular improvement in the country.
Gardens have become the second most popular area to focus our DIY skills on, with 41 per cent of mortgage-holders doing some kind of work in the yard.
The kitchen is the area most people would like to change in their home, however, the work does not often get done with finances and lack of know-how being touted as the most common restricting factors.
The cost of home improvements can be stifling and many people are forced to take out a loan in order to be able to afford the work.
Halifax found that 11 per cent of homeowners have spent over £10,000 on improving their property in the last 12 months.
A further 33 per cent spent between £2,500 and £10,000, while 51 per cent forked out anything up to £2,500.
Homeowners are encouraged to ensure that they can realistically afford any home improvements that they may be planning before starting the work.
Pay rises make us worse off
May 17, 2007 by admin
Filed under News, News-Banking
That pay rise you have been pining for may make you worse off financially.
It may sound silly but, according to Prudential, many of us find that we actually suffer financially as a result of a pay rise or bonus.
The reason, says the financial services firm, is that many of us throw our good banking guides out of the window when we get a rise and start spending the money before we even have it.
Around 17 per cent of Britons are said to behave in this way, falling into a category dubbed by Prudential as ‘Money Illusionists’.
This is equivalent to 3.4 million people who spend their entire bonus or pay rise before they have received it, while nine per cent have even managed to get themselves into debt as a result.
“A pay rise or a bonus ought to be the trigger to get debt under control but too many of us simply see it as an excuse to spend more,” commented Angus Maciver, business insurance director at Prudential.
“It is particularly worrying that so many people appear focused on gaining pleasure now, spending increases and windfalls rather than saving.
“As Britain’s consumer debt levels continue to grow it is vital that people make provision for good times and bad,” he added.
Most people (19 per cent) admit to spending their pay rise or bonus on a holiday, while 13 per cent choose home improvements and 12 per cent on electronic gadgets.
On the other hand, only 23 per cent use the money to pay of debts and 15 per cent choose to save it.
The death of DIY?
May 10, 2007 by admin
Filed under News, News-Insurance
The Great British love affair with DIY may be coming to an end as people become more concerned about making a claim on their home insurance.
Research by Woolwich Mortgages shows that more and more people are turning their backs on DIY and opting to get professionals in to do the job instead.
Nearly half of those questioned said that they do not enjoy DIY, with 37 per cent avoiding the work in case they get it wrong and have to claim the money back from their insurer.
A further 40 per cent say that they simply do not have the time, while 22 per cent see DIY as a chore that takes up valuable leisure time.
“It seems that the phrase ‘time is money’ applies to the UK’s new DFYers (done for you-ers),” said Andy Gray, head of mortgages at Woolwich. “People think their own time is precious and with the added concern that they are not going to do a good job, people are increasingly turning to experts to get the job done.
“Home improvements can make a tangible difference to the value of peoples homes, but a bad standard of work can drag the price down.”
Some tasks are considered to be more worthy of hiring a professional than most, with 65 per cent saying that electrical work should be left to a qualified individual.
Plumbing is also avoided by 63 per cent, building an extension by 59 per cent and installing a new kitchen and bathroom by 58 per cent.
Interestingly, 35 per cent of people think that painting and decorating should be done by a professional, while 38 per cent think the same about erecting a shed.
Don’t bodge it yourself (BIY)
May 4, 2007 by admin
Filed under News, News-Insurance
Homeowners are being encouraged to avoid partaking in any bodge it yourself (BIY) over the Bank Holiday weekend.
According to Halifax Home Insurance, we spend £607 million on repairing the damage we do to our homes while trying to fix them up.
Traditionally the UK goes DIY mad over the Bank Holiday and this is often when the majority of damage is done.
However, Halifax is warning people not to take on a job which they are not qualified to do as it could end up costing a lot more to fix the job than it would have to have got a professional in originally.
“Whilst well planned and executed home improvements can add significant value to a home, getting it wrong can be a disaster,” commented Vicky Emmott, senior manager of underwriting at Halifax.
“We’d advise anyone planning any major improvements to their home to employ qualified and reputable tradesmen, rather than going it alone.
“Indeed trying to tackle certain areas that you are not qualified for, such as electrics or plumbing, could invalidate your home insurance and leave you liable for the cost of any subsequent damage,” she added.
DIY enthusiasts are encouraged to make sure there house is properly covered before embarking on a project.
