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When you buy a new build property, you expect everything to be top-notch - after all, everything is brand new. Unfortunately, that’s not always the case and hasn’t been for some time. There have been lots of conversations over the years, both in Government and across the construction industry, about what can be done to improve the quality of new build homes and ensure buyers get what they pay for, while also making sure complaints are resolved.
In 2022, the New Homes Ombudsman Service was established by the New Homes Quality Board (NHQB) with a mission to help customers resolve issues with their new homes. In this guide, we tell you everything you need to know about this service and how it can help you if you need further support with your property.
What is the New Homes Ombudsman Service?
The New Homes Ombudsman is a service that homebuyers can use to remedy their new home if it is not up to the high standard it should be. The service is designed to ensure new homebuyers have a place to go if their developer is unable or unwilling to rectify issues found by either the buyer or through a professional snagging inspection.
It was set up by the New Homes Quality Board; an independent, not-for-profit organisation established to oversee reforms in the quality of new homes and the customer service provided by developers.
Buyers can apply to the New Homes Ombudsman Service (NHOS) for a case review if they are unhappy with their home or developer. The case will be reviewed against the New Homes Quality Code to determine whether it breaches these guidelines. If the Ombudsman deems the case to be in breach of the code, it will order the developer to redress.
You do not need to have had a snagging inspection to use the NHOS if there are issues with your home. It can, however, help support your application.
How does the New Homes Ombudsman Service work?
To use the New Homes Ombudsman Service, your developer needs to be registered with the NHQB. We know what you’re thinking, why would dodgy developers sign up for a scheme that could see them need to rectify issues, compensate customers or potentially gain a bad reputation for poor workmanship?
However, a study by LABC found that 39% of developers and house builders were in support of the Ombudsman and welcome the new quality standards, citing industry standardisation and buyer confidence as reasons for approval.
The service acts like an impartial mediator for consumers and developers, helping homebuyers obtain the expected outcome while ensuring builders are held accountable for the homes they sell. The NHOS provides this service for free to customers, independently adjudicating issues that fall within its scope. Complaints relating to the reservation, legal completion, complaints management process and defects that arise at or after occupation, that are not considered major defects, will fall within the Ombudsman’s remit.
Once a developer is registered with the scheme, they will have access to a dashboard that can be used to manage complaints made against them. The NHOS will regularly contact the builder and complainant throughout the process to ensure it is handled correctly and smoothly.
The NHOS covers the period from the reservation and legal completion of a property to after-sales and complaints management for issues arising during the first two years of purchasing a new home. This is in line with current industry practice, whereby developers will rectify snags identified in a snagging report during the same period.
To further support buyers in the new home buying process, the Government is intending to pass legislation that requires all developers to belong to the New Homes Quality Board, creating transparency in the industry and increasing confidence for buyers.
What is the New Homes Quality Code?
The New Homes Quality Code (NHQC) was created by the New Homes Quality Board and aims to improve the existing protections in construction, inspection and sales. It seeks to fully protect the customer at every point in their new home-buying journey by filling the gaps in the current protections offered in the industry.
The NHQC will also set out the requirements for a fair reservation agreement, in addition to sales contracts to ensure there is a “cooling off” period after purchase.
The NHOS works in line with the NHQC, ensuring there is a framework in place to measure developers against. This means that if a home doesn’t meet the requirements set out in the code, the NHOS can easily order the developer to rectify any issues.
A large portion of the code is great news for home buyers and us because customers will be able to allow professional snaggers to undertake a pre-completion snagging inspection of the new home on their behalf - as long as the developer is registered with the NHQB. This ensures customers are not moving into incomplete or substandard homes before battling with their developer to rectify issues.
How can the New Homes Ombudsman Service help me?
If your builder is registered with the scheme, you can easily submit a case for review via the New Homes Ombudsman Service. It is important to note that you will need to contact the developer first using their standard complaints procedure. If you are not satisfied with their response, you can then get in touch with the NHOS.
You will need to send them information about your property including details of your complaints and any evidence supporting this. You will also need to specify which part of the New Homes Quality Code you think your developer is in breach of; if you’re not sure, you can still make a complaint.
If the NHOS determines that the developer is in breach of the New Homes Quality Code, it could order the developer to compensate you, rectify issues specified in the case file or even be removed from the scheme.
Why are the New Homes Ombudsman Service and New Homes Quality Code beneficial?
The NHOS is designed to do many things which benefit the consumer and support the evolution of the housing industry. These benefits include:
Providing support and information to consumers and industry professionals
Holding the register of developers of new build homes, ensuring everyone is accountable
Collecting an annual registration fee from developers to fund new arrangements
Disciplining and sanctioning poorly performing developers
Reporting and publishing details on industry performance and improvements
How can a snagging inspection help you?
Whether you’ve already moved in and have found issues in your home, or you’re due to complete and would like to ensure your new property has been built and finished to the standards you were promised, a snagging inspection can be hugely beneficial.
If your developer is registered with the NHQB, you will be able to book a pre-completion snagging inspection, meaning you can hold off on the completion of your home if it is not up to standard. All too often we visit homes that have been moved into and find issues that should not have been signed off by the site manager or NHBC. Being able to have a pre-completion inspection ensures your home will be safe and finished as it should be by the time you move in.
If you’ve already completed on your home or have moved in, a snagging inspection can help to give you peace of mind that the standard of your new home is as it should be and everything has been finished in line with NHBC guidelines. Our hope will always be that you can give your report to your developer and they will then rectify any issues found. However, where this is not the case, the New Homes Ombudsman Service is on hand to support you further.
Book your snagging inspection with us today or learn more about our snagging inspections here.
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