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New Homes Quality Board publishes new code of practice for developers
A not-for-profit organisation set up to ensure developers deliver good-quality homes and that homeowners have greater consumer protections has published its new code of practice for the housebuilding industry.
The New Homes Quality Code, created by the New Homes Quality Board (NHQB) which formed earlier this year, sets out a list of protections for people buying and owning a home, including proper aftercare and a “robust” complaints process.
The board said it aims to “fill the gaps” in current protections and ensure that every aspect of a new-home purchase is covered.
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Natalie Elphicke, chair of the NHQB, said the “powerful” new code is a “central plank” in the work to drive the quality of new-build homes up and strengthen redress for consumers.
“Over the coming months, we will work closely with industry to support and help them make the transition to the new arrangements.
“I firmly believe that, while challenging to implement, the new regime will deliver a step change that the industry will ultimately recognise brings huge benefits for both their customers and them,” she said.
The NHQB was launched in February with responsibility for developing a new framework to oversee the build quality and customer service provided by developers of new homes.
The advisory body was charged with introducing a new industry code of practice for builders, as well appointing the New Homes Ombudsman Service (NHOS), which will be there to support homeowners in disputes against builders.
The code’s publication follows years of work to agree a single code and a full public consultation on its initial draft in early summer.
It also follows on from the announcement last month that the Dispute Service has been selected as the NHQB’s preferred partner to create and operationalise an NHOS.
The New Homes Quality Code
- Protects vulnerable customers, prohibits high-pressure selling and requires any deposits customers pay to their builders to be protected.
- Requires the developer to provide all relevant information about the home during the sales process, including its tenure and any future management or service charges, that allows buyers to make an informed decision about their purchase.
- Has requirements for a fair reservation agreement, including a cooling-off period and a sales contract.
- Allows customers to have a professional carry out a pre-completion inspection of their home on their behalf and specifies that a home must be ‘complete’, preventing builders from paying customers to move into an incomplete new home early.
- Requires builders to have an effective aftercare service in place to deal with any issues or ‘snagging’ problems customers have, along with a “robust” complaints process that responds to customers’ concerns in a “timely manner and to their satisfaction”, keeping them informed throughout.
- If a customer is not satisfied with how any complaint they have made has been dealt with, they can refer their complaint to the New Homes Ombudsman Service.
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