Self-Build Structural Warranty

Not every self-builder will have experience in construction. Without in-depth knowledge of Building Regulations and structural integrity, you might not realise that others are making technical mistakes when constructing your self-build property. If you don’t know what to look out for, you should entrust an expert surveyor like those on our team to do it for you.

Most Structural Warranty claims are a result of poor workmanship that wasn’t noted at the time, which is why extensive auditing throughout construction and Latent Defects Insurance extending past completion are so important. No doubt you’re investing a lot of money into your dream home, so you don’t want to incur financial losses if a structural element fails later on.

Aside from the security and peace of mind that having a Self-Build Structural Warranty can give you, many lenders will require this policy to be in place before agreeing to loan you anything. If you’re relying on a self-build mortgage with stage payments to fund the project, then you’ll need this warranty. A Professional Consultants Certificate(previously known as an Architect’s Certificate) won’t be enough.

While it’s possible to get a Completed Property Warranty after the construction is already finished, it’s not advisable to wait that long. If your mortgage provider needs up-to-date reports to release your funds, you’ll have to cover the upfront costs yourself before the bank can reimburse you at the end, which is far too expensive for most people to manage.

It’s best to secure a Self-Build Warranty as early as possible so that regular and comprehensive checks can happen right from the beginning. As soon as you have acquired the land, and all the planning documents and cost calculations are organised, you should start looking for a suitable Structural Warranty policy to cover your self-build development.

As a general guide, it’s advisable to purchase a Self-Build Structural Warranty around 2 to 3 weeks before works begin. The Chartered Surveyors can then analyse your technical plans, and carry out staged inspections to identify any issues before they can cause problems later. If you do wait until after completion, you’ll need a warranty before moving in.

Self-building usually involves starting completely from scratch and constructing a custom-designed house on an otherwise empty plot of land. However, extensive refurbishments on partial or dilapidated structures can also count as self-builds in some cases – such as barn conversions.

If you have an existing Structural Warranty on the property, then renovations will usually invalidate that policy, as it won’t cover the new structure. You can either contact your warranty provider to see if they can update it, or secure a new policy for the altered structure.

The same applies if you complete a 100% original self-build property, and then decide to make renovations during its Structural Warranty term.

Similar to a mortgage, the cost of a Self-Build Warranty is based on the size of the property and its features. The bigger the home, the higher the premiums – and the same goes for features such as basements and flat roofs, which can increase the risk of latent structural issues.

Any warranty provider will inspect and evaluate the property before offering you a final, fully informed quote. The many factors that can affect your Structural Warranty premiums include:

• The size, location, and estimated value of the build
• Construction methods and materials
• Experience/portfolio of the builder/developer
• Your financial status (e.g. income, debts)
• Stage of completion when applying

The more thorough your documentation and stable your situation, and the greater the reliability of the materials and methods used, the better. It’s also best to apply for a Self-Build Warranty before construction starts, so we can carry out inspections from the very beginning. If you put it off, the price will continue to increase for every stage of the build, so it’s worth applying as soon as possible.

It’s unlikely that any lender would agree to fund a construction project without the proper financial protections. This includes a Structural Warranty, which protects the bank’s investment by covering repair expenses if latent structural defects occur. Self-build mortgages work differently, in any case.

For this situation, you would need a stage payment mortgage. This is a specialist type of loan which is released in instalments rather than a lump sum, allowing you to pay for each stage of the build as it progresses. From purchasing a plot of land to completion, the bank will require regular updates.

Depending on the circumstances of your self-build project, you could either get stage payments in advance or arrears. Whether you pay upfront and recover the cost in arrears or use an advance payment to hire contractors and buy materials, the process will be much smoother with a warranty.

At ABC+ Warranty, we can provide certificates following inspections at every stage, which you can use to confirm the status and quality of the build to your bank to release the next payment. Unless you want to pay for everything yourself and risk not being accepted for a mortgage after completing your self-build project, you should secure a Self-Build Structural Warranty while you’re still in the planning stage.

A Self-Build Structural Warranty and Self-Build Insurance aren’t the same thing, so you’ll need both to cover all your bases. The only legal requirement is Employers’ Liability Insurance, which will be compulsory if you wish to employ people, such as builders and engineers, to work on your self-build project.

Whereas a developer would be responsible for managing legal protections on the construction site for traditional builds, you’ll be the primary employer if you’re building your home yourself. This means that you’ll need tailored Self-Build Insurance that can cover a variety of liabilities, such as:

• Public Liability Insurance – covering employee injury or death onsite, plus loss or damage to third-party property.
• Contractors’ All Risk Insurance – protecting the contract between you and contractors working on the build, covering the costs of materials.
• Contractor Works Insurance – covering repair or replacement costs if the partly-built structure is damaged or destroyed.
• Hired-in Plant Insurance – covering hire/repair/replacement costs for the damage or loss of hired equipment.
• Own Plant Insurance – covering repair or replacement expenses for damaged or stolen equipment that you own.
• Tools Insurance – protecting hand tools owned by yourself or employees that are stored on-site.
• Materials Insurance – directly covering construction materials stored on the site.
• Temporary Buildings Insurance – covering the repair or replacement of damaged temporary structures (such as Portakabins) on the site.
• Personal Accident Insurance – covering the policyholder and several named individuals in the event of an accidental injury onsite causing disability or death.
• Legal Expenses Insurance – covering litigation costs if a dispute arises between you and a contractor, utility company, or squatter.

Currently, only Employers’ Liability Insurance is required by law in the UK, but most self-builders will take out comprehensive Self-Build Site Liability Insurance just in case. The last thing anyone wants is for damage, theft, or accidental injuries to occur on your building site, but if it does, nobody needs the additional stress of paying for legal cases and compensation.

Lenders are also unlikely to accept loan applications if your self-build project doesn’t have adequate site insurance – not just a Structural Warranty. Once construction is finished, you’ll also need to have building insurance and contents insurance policies in place to protect your completed home and any personal belongings inside it.

To ensure that your self-build construction project is progressing in compliance with the building plans, permissions, and regulations – thereby minimising the risk of defective work – part of providing a Structural Warranty includes conducting site inspections at these key stages:

• Excavation of foundations
• Laying of the ground floor
• Construction of walls and roof
• First fix (before plastering or internal fittings)
• Second fix (after installation of fittings)
• Pre-handover (completion)

During these regular site inspections, a chartered surveyor will visit the site of the development to complete a professional assessment. This survey will monitor whether the build meets the required technical standards set by the insurer, the local authority, and national regulations.

This qualified audit should then identify any problems as early as possible, preventing them from becoming latent defects and allowing the construction team to rectify the issues quickly.

Records of each site survey are carefully maintained in a dedicated folder, with electronic copies of the report provided after every site visit. You can use these as supporting evidence for claims.

When you take out a self-build mortgage to build your own house, the bank will release partial payments either before or after each stage of the build. An advanced mortgage allows you to receive the money first to fund each stage, while an arrears mortgage requires paying for each part of the build yourself. You’ll then receive reimbursement from the bank once each stage is completed.

Stage payments make it easier for lenders and insurers to manage the build properly, reducing the risk of defective work or other mistakes along the way. It can be more difficult to get a self-build loan than a standard mortgage, since lenders can’t be sure of the quality of the work if it isn’t carried out by established professionals, which is why it’s helpful to have a Self-Build Structural Warranty.

Submitting proof of this policy – along with your other documents detailing site plans, permissions, and design and construction contracts, etc. – should improve your chances of getting a mortgage.

There’s a lot of responsibility and painstaking planning involved in building your own house. At the very start, you should make a list of all the insurance policies you need to set up, and work through it until all the necessary financial protections are in place – after which you can proceed to apply for funding, if required. While not at the top of the list, a Structural Warranty should still be a priority.

After setting up site insurance to cover the equipment, structure, employees, and other liabilities for the duration of the build, you should make sure your Self-Build Warranty is also in place before the construction work begins. Ideally, you should apply for this policy several weeks in advance.

If you’re looking for a Self-Build Structural Warranty quote, you’re in the right place – this is just one of the many Structural Warranties we offer at ABC+ Warranty. To obtain a quote for your self-build project, please use our quick quote form or full online application form.

You can also call 0161 928 8804 to discuss our ABC+ Warranty, or email any enquiries to info@architectscertificate.co.uk.