How Much Should Your Loft Conversion Cost?

In the current climate of financial uncertainty, millions of families up and down the country are fretting about property. You might ask whether that's much of a change from the norm, and perhaps you'd have a point, but the bullishness that surrounded the UK property market in previous years has been replaced by more bearish sentiment. Although property prices in some parts of Britain - specifically London and the South East - have held up remarkably well through all the upheaval, they've fallen sharply in other areas. It can be particularly difficult in the current environment for homeowners to take that next step up on the property ladder, whatever their reasons for wanting to do so.

Many householders find that they simply don't have as much space as they feel they need - this can be particularly problematic for those who have children, for example. One option many homeowners have chosen is to simply have a loft conversion carried out, thereby providing them with more room. However, as with any other home improvement job, it's important to weigh up the advantages and disadvantages first so that you know whether the investment will be worthwhile. The popularity of loft conversions certainly shows no sign of slowing down, but there are a few aspects you ought to consider before you go ahead with the work.

An article from property website Primelocation.com observes that the loft conversion trend really took hold in London around a decade ago, but has started to expand across the country in more recent years. The piece cites a survey from Lloyds TSB suggesting that more vendors had opted to take their homes off the market in order to carry out improvements, and suggests that a loft conversion could add up to 10 per cent to the value of a home - even at a time when prices are stagnant or even falling. A regulatory change last October gave the majority of homeowners the option to press ahead with a loft conversion without the need to apply for planning permission from their local authority, so that's one less thing to worry about. Government estimates suggest that those affected could save up to £1,000 each in costs as a result.

The article also notes that some householders had used their property equity to finance loft conversion work, although it points out that some lenders may be less willing to finance such improvements given the current financial outlook. It also strongly advises those considering loft conversions to familiarise themselves with the relevant regulations beforehand, so that they don't end up simply wasting money on inappropriate work. Weather resistance, structural stability, ventilation, fire resistance and access are singled out as areas worthy of particularly close consideration.

Last May, a Halifax survey also suggested that loft conversions could have a significant impact on boosting property prices. According to the study, loft conversions add more value to a property - an average of £20,876 at a cost of loft conversion of around £10,000 - than any other home improvement job, followed by room extensions. A separate report from the National Association of Estate Agents also found that 40 per cent of the industry group's members considered adding extra living space as being the best way to increase the value of a home to would-be buyers.