Building an island of success for yourself

DOOM and gloom may have enveloped the housebuilding sector, but the number of self-build projects is "holding up" during the economic slowdown, according to the industry.

Interest in new-build houses has been maintained because they have better energy efficiency and fewer running costs than older properties, making them attractive to cash- conscious customers.

Under-floor heating, often powered by a ground source heat pump, was becoming more popular, along with solar panels, according to one of the firms in the sector.

John MacDonald, of Skye Homes – which has projects in the New Forest, Wales and Ireland, as well as in Scotland – told The Scotsman that his business has grown by about 35 per cent year-on-year so far.

MacDonald said he was "investing heavily" for further growth in the business. He said: "It's still early days but the self-build market is remaining steady.

"A lot of people building their own houses are selling their homes in cities to build in the countryside, releasing equity and making them less reliant on high-percentage borrowing.

"We're still concerned about the credit crunch and its effect on the building sector, but there's cautious optimism about growth in the expanding self-build market, where timber-frames are beginning to replace traditional block-building."

MacDonald's comments followed a recent survey by BuildStore of 500 self-builders and renovators across the UK, which revealed that more than 90 per cent intended to continue with their projects despite the credit crunch.

Raymond Connor, managing director of BuildStore, which is based in Livingston, said: "Self-build's niche status has protected it from the major effects of the credit crunch, which have led to problems in the mainstream housing, construction and mortgage marketplace."

"The current market conditions have helped to create a more favourable environment for self-build, with people recognising it is an affordable and rewarding way to improve their position on the property ladder."

BuildStore, which runs self-build visitor centres in Livingston and Swindon, has also recorded a more than 30 per cent rise since January in the number of pieces of land being added to the plot-search facility on its website.