As the cost and difficulty of moving house spirals, a growing number of UK homeowners are choosing a different route: building a new home within the grounds of their existing property, then selling either the original house, or the new build, or both.
Why homeowners are choosing to “stay put”
Clare Coode of Stacks Property Search says, “The trend is growing, being driven largely by homeowners with large plots, often living in Georgian, Edwardian or inter-war houses built with generous gardens or grounds. Rather than downsizing through the traditional cycle of selling, buying and relocating, these owners are opting to stay put, build a modern home to their exact specification, and selling the main house.
“It’s a perfect solution if you can afford it; owners can stay in the community they love, avoid the stress of dovetailing the selling and buying process; and downsizing into a better configured, future-proofed home.”
From capitalising on land to building the “perfect home”
James Greenwood of Stacks Property Search says, “Garden-grabbing was once mostly about capitalising on a large garden plot; but it’s becoming increasingly mainstream as a way of acquiring a perfect home, especially for those in later life. It can be an elegant solution to the difficulties of finding the right home in the right place to downsize to – but only if handled with care.”
A long-term solution for families and multi-generational living
Clare Coode says, “The idea also appeals to families thinking long-term. Multi-generational living is on the rise, with adult children struggling to get onto the property ladder while wanting to remain close to parents. In some cases, parents move into a smaller new build in the garden while younger generations occupy the main house. In others, a modest, well-designed garden home becomes a first step into ownership. Budgets can be surprisingly contained, especially if off-the-peg designs are used. One recent example allowed a family to build a highly insulated, architect-designed garden home with a pool for around £150,000.”
Planning realities: easier than greenfield, but far from guaranteed
Ed Jephson of Stacks Property Search says, “From a planning perspective, building in a garden is often easier than developing a greenfield site, but permission is far from guaranteed. Local authorities will scrutinise access, drainage, services, and impact on neighbours.
“A big enough garden is essential. You need separate access, space for services, and a layout that doesn’t feel as though the new property has been shoe-horned in. It’s vital not to compromise the original property.
“Plot position matters. Adjacent or side-by-side developments tend to work better than building directly in front of or behind the original house. Driveways running past living rooms, or new homes that dominate views, can dramatically undermine value.
“Drainage and utilities are frequent stumbling blocks. One developer discovered too late that surface water could not be discharged from the plot, forcing the costly installation of a new tank system. These are not details to resolve late in the process.
The biggest risk: devaluing the original house
Nick Cunningham of Stacks Property Search says, “The biggest risk is devaluing the original house. While in many coastal and village locations plot size is less critical than it once was, this is not universally true. A country house at the end of a long drive is still expected to have significant grounds. Split the grounds, and share the drive, and the magic can disappear.
“There are plenty of cautionary tales. In one case, owners building a new house alongside a farmhouse with sea views took professional advice on value before starting. Even so, the finished development dramatically altered the setting. The original house fell in value from around £1.4 million to £950,000.
The upside when it’s done well
Clare Coode says, “Done well, the advantages are compelling. Financially, it can unlock significant value. Lifestyle-wise, it allows people to stay connected to neighbours, friends and familiar surroundings. The new home can be designed for modern living: energy efficient, low-maintenance, accessible and tailored for the future.”
Rising demand for “dual dwelling potential”
Nick Cunningham says, “Clients are increasingly searching specifically for properties with ‘dual dwelling potential’. One buyer with an initial £950,000 budget expanded their search to £1.5 million once they established the benefits of buying a property on a large plot and building a secondary property.
“As the cost of living rises and housing affordability worsens, creativity is becoming a necessity rather than a luxury.”
Key advice from Stacks Property Search experts:
Get expert advice early (and expect costs to rise)
Ed Jephson says, “Get expert advice early. Planning consultants, architects, highways specialists and estate agents should all be involved from the outset to test feasibility, assess likely devaluation of the original house, and estimate the true end value of the new build. Costs almost always exceed initial estimates.
“Landscaping is also critical. A new house rarely ‘beds in’ on its own. Thoughtful planting and layout can make the difference between a harmonious development and a value-destroying intrusion.”
Timing matters
Nick Cunningham says, “Above all, timing matters. Undertaking a complex build late in life can be extremely stressful. Those considering the option are advised to act sooner rather than later, and not to underestimate the process.”
