Guide to buying a house with a loft conversion

A loft conversion is a popular way of adding extra space and value to a property. However, buying a house with a loft conversion can also come with some challenges and risks.

This guide will help you when buying a property with a converted loft and how to sell a home with a converted loft.

What to look out for when buying a house with a loft conversion

When you are buying a home with a conversion, there are two aspects you need to check: planning permission and building regulations.

This is something that your conveyancing solicitor will be able to check for you.

Planning permission

Planning permission is the approval from the local authority that allows you to make changes to your property. Depending on the type and size of the loft conversion, it may not require planning permission.

Generally, these conversions will fall within what’s known as ‘permitted development’ rights and do not need planning permission, but they MUST meet certain criteria, such as:

• Not exceeding the highest part of the roof
• Not extending beyond the plane of the existing roof slope
• For a terraced home, this should not exceed 40 cubic metres
• For a semi- or detached home, this shouldn’t be more than 50 cubic metres
• Must not include any verandas, balconies or raised platforms
• The conversion uses materials that are similar in appearance to the existing house

However, if the converted loft doesn’t meet these criteria, then you or the seller will need to apply to the local authority for retrospective planning permission.

Fortunately, applying for permission is easy and can be done online. This process can take up to eight weeks to complete and will carry a fee. You, or the seller, will need to comply with any conditions or restrictions that the planning permission imposes.

We think it’s always best to check with the local authority whether planning permission is needed – just in case! (You could also read the Government’s guide to the technical guidance for permitted developments).

You should also check that the conversion work carried out matches the planning permission that was granted and that there are no outstanding issues or complaints.

Buying a house with an unapproved loft conversion

If you are buying a house with an unapproved loft conversion, that’s without planning permission, you should be very careful.

That’s because you may be liable for any breaches of planning control and face enforcement action from the local authority.

This could result in you having to remove the conversion, pay a fine or even face legal action.

If you or the seller can get retrospective consent, then that will be a solution.

If not, then it might be best for you to walk away from the purchase because the value and saleability of it will be affected. There will also be potential difficulties when a lender carries out a mortgage valuation.

Building regulations

Building regulations are the minimum standards of design, construction and safety that apply to any building work carried out. Known as ‘regs’, these cover aspects such as: 

• Structural stability
• Fire safety
• Ventilation
• Insulation
• Drainage
• Access.

You also need to be aware that building regulation consents are not the same as planning permission and apply to all loft conversions, regardless of whether they need planning permission or not.

Always check with the seller that the conversion has building regulations approval. They should provide you with a copy of the completion certificate and any relevant documents, such as:

• Inspection reports
• Calculations
• Specifications.

You should also check that the conversion matches the building regulations approval and that there are no defects or faults.

If the conversion doesn’t have building regulations approval, you may be putting yourself and others at risk, and it may not be safe for use.

Loft conversions that are non-compliant with building regulations

If you are buying a property with a loft conversion without building regulations, you or the seller may be able to apply for retrospective approval.

This is when the local authority or an approved inspector assesses the existing conversion and issues a regularisation certificate if it meets the building regulations.

However, this isn’t guaranteed and may involve making alterations or corrections to the loft conversion, which can be costly and disruptive.

You may also have to pay a higher fee than a normal building regulations application.

Again, you may have to consider pulling out of the purchase a property.

Alternatively, you could buy an indemnity insurance policy that covers you against any claims or losses arising from the lack of building regulations approval.

Be warned though, this isn’t a substitute for building regulations approval and doesn’t guarantee that the conversion is safe or compliant.

You may struggle to find an insurer that is willing to offer you building regulations indemnity insurance, or you may have to pay a high premium.

Getting a mortgage offer with a loft conversion

Getting a mortgage offer for a house that has a converted loft can be more complicated than buying a house without one.

This is because lenders have different criteria and requirements for valuing and lending on properties with conversions.  Also:

·         Some lenders may not lend on properties with a converted loft at all, while others may lend only if the loft conversion has planning permission and building regulations approval

·         Other lenders may also reduce the amount they are willing to lend or charge a higher interest rate.

You should do your research and compare different mortgage options so seek professional advice from a mortgage broker or financial adviser who can help you find the best deal.

You might also need evidence of the conversion’s legality – checking that the homeowner had applied for planning permission – and you will have to check that planning permission was granted, it has building regulations approval. You will also need the completion certificate and inspection reports.

Living with a badly done loft conversion

If the loft conversion has been poorly done or doesn’t comply with planning permission or building regulations, you may face various problems, such as:

• Lack of space or headroom
• Poor ventilation or insulation
• Dampness or mould
• Noise or vibration
• Fire hazards or electrical faults
• Structural issues or leaks

These problems may require repairs or improvements, which can be expensive and time-consuming.

As a buyer, consider hiring a surveyor to assess the conversion’s condition and quality so they can advise you on any remedial work or costs.

Advantages and disadvantages of a loft conversion

There are advantages and disadvantages to buying a home with a converted loft.

Advantages

• A conversion can add extra living space and functionality to the property, such as a bedroom, a bathroom or a study
• It can increase the property’s value and attractiveness by appealing to a wider range of buyers - and command a higher price
• A conversion can improve the energy efficiency and environmental performance of the property
• It can also enhance the property’s appearance and character
• A conversion can offer better views and natural light.

Disadvantages

• A loft conversion can be complicated to buy with higher fees and mortgage lender costs
• A conversion can be costly to maintain and might need more repairs
• It can reduce the space and quality of the lower floors
• A conversion can pose safety and accessibility risks with steep or narrow stairs.

Selling a house with a loft conversion

If you are selling a house with a converted loft, you should be aware of the factors that can affect the property’s saleability. Here are some tips to help you sell a house with a converted loft:

• Make sure that the conversion is legal and compliant, and that you have all the necessary documents
• Make sure that the conversion is in good condition, and that there are no defects or faults
• Paint or decorate the conversion to make it more attractive and appealing, and to match the style and theme of the rest of the house
• Highlight the benefits and features of the conversion to potential buyers
• Choose the right price and marketing strategy by researching the local market and comparing similar properties with and without a converted loft.

Remember too that an estate agent will be able to advise on what you need to do.

Buying a property with a loft conversion

There's a lot to recommend with a loft conversion but you will need to be careful and ensure that it:

• Has planning permission (if required)
• Meets the planning criteria
• Has building regs approval (whether it needed planning permission or not).

For many homeowners, a loft conversion offers more space and boosts its attractiveness to potential buyers.

It's always a good idea to have a surveyor carry out a full survey when you buy a property - and for a home with a loft conversion, this could be a sound investment if any problems are uncovered.