The government has relaxed rules to allow homeowners to add bigger extensions without the need for planning permission approval.

Thousands of homeowners have been given the green light to build extensions without the need to apply for planning permission from the council.

Since the Government introduced temporary rules in 2013 giving 110,000 homeowners in England the freedom to build extensions and now the rules have been made permanent.

For older homeowners this gives them an opportunity to stay in their home and release equity with loan to values based on age which they can use to add an extension.

New rules for home extensions

The new rules allow homeowners living in semi-detached or terraced houses the addition of a single-storey rear extension of up to six metres and for a detached house up to eight metres.

Any extension exceeding these limits in terms of height and length from the property would need to submit full planning permission.

Housing minister Kit Malthouse MP said, the new permissions will help families extend their properties without battling through time-consuming red tape.

By making this permitted development right permanent, it will mean families can grow without being forced to move, says Mr Malthouse.

The rules will allow home movers wanting to trade up to a larger property the choice to stay in their house, such as they are near a good school, adding an extension could create the extra space they need.

If you have already retired you can access cash for a specific reason such as a loft conversion of extension by using a lifetime mortgage where you can pay the interest as you go or allow it to roll-up over time.

Releasing equity with a mortgage allows you to retain 100% ownership of your home to benefit from future increase in property values and is preferred to home reversion plans where you give away part or all of your home.

For first time buyers wanting to purchase a cheaper home to renovate and benefit from rising house prices, these rules would allow them to add an extension without the time delay of applying for permission.

Greater flexibility would allow buy-to-let landlords to easily make additions to their properties to allow them to increase the rental income improving the yield.

Planning permissions for your home

The new rules mean there is no need for lengthy planning permission applications although homeowners must inform the local council of the changes they intend to make.

The council will inform your neighbours of the changes to your property and if there is an objection, they must decide if your changes including the materials used and appearance are in keeping with the area.

Extensions are limited to no more than half the area of land around your house or higher than the original design and other types of extensions may require full planning permission such as basements.

For older homeowners the considerable value in their property allows the equity release buyer to access money and use this for a home extension or even buy a new house with equity release.

See what the interest rate could be to release equity when adding a loft conversion or extension to your property by using this link:
Free equity release calculator with instant figures when adding an extension.

Some types of property are not covered by the new rules such as flats and maisonettes.

Other alterations are permitted including loft conversions as long as the additional roof space is under 40 cubic metres for a terraced house or 50 cubic metres for detached and semi-detached properties.

The rules also apply to commercial property to help businesses respond to trends without the need for a full planning application such as changing a shop into office space.

What are your next steps?

Talk to our London City Mortgage advisers if you are an older homeowner considering equity release, we can recommend the most appropriate lifetime mortgage and application through LCM for the amount you would like to access.

Find out more about the lowest fixed interest rates when adding a loft conversion or extension for your home at this link:
Free equity release quote with interest rates for adding an extension to you property.

Our mortgage advisers can find the products to meet your requirements to access cash. Learn more by using the equity release calculator, property value tracker chart and mortgage costs calculator.