On average, a traditional brick home extension adds over 12% and a loft or basement conversion 10.9% to a property's value, the Nationwide Building Society survey found.

Adding a single garage boosts value by 8%, and a double garage by 10%, with a detached double garage by 12.5% but the group added that regardless of work done to a property, location and compliance with building regulations were key to its price on the open market. “It is always good practice to have Architectural plans compiled by a specialist, it is not always necessary (if planning permission is not required), but does really help building control, we offer these free of charge within our quotations” Said David Preston senior surveyor of Preston Construction, The Loft Specialists and The Basement Guys.

"A house in the best neighbourhood can command a price more than a third higher than a similar house in an average area," said Fionnuala Earley, Nationwide group economist. Nationwide identified other factors that can detract from a property's value. It said properties without central heating could reduce the price of a home by nearly 7%. And having no garage or drive can knock about 6% off a property's asking price.

Families in cramped homes are to benefit from a scheme to scrap planning permission for many extensions and loft conversions, the government has said.

The regulations, effective in England from 1 October 2009, will mean 80,000 fewer applications and save up to £50m, Housing Minister Caroline Flint said.

She said families struggling to move due to the credit crunch would benefit.Two-storey extensions will be allowed if they extend no more than 10ft (3m) from the back of an existing property.

Loft conversions will also be allowed without planning consent if they extend no more than eight inches (20cm) outwards from the eaves of a property. They must also be no bigger than 50 cubic metres - about the size of a room measuring 18ft by 12ft. For News on planning and building regulations that effect everyone terraced houses it is 40 cubic metres.

If you are in any doubt a surveyor from Preston Construction, The Loft Specialists and The Basement Guys will give free advice on all the issues highlighted in this news report.

In conservation areas, loft conversions will still be restricted (but still may be allowed if designed sympathetically) but single-storey rear extensions and basement conversions will be permitted.

The scheme has been talked about for several years but details have only just been revealed.

Caroline Flint said: "The new rules... will save thousands of pounds in some cases - a real difference to already stretched family finances, making home improvement an increasingly attractive option.
"Often people grow out of the family home but now those who don't really want to move will find it easier to improve instead."

Michael Johnson of Sale in Manchester was in the process of applying for planning permission to build a second bedroom in his loft but has now decided to let The Loft Specialists in Manchester take control of all the applications. He owns a flat above an estate agency and with their permission hopes to go ahead with the building work after 1 October. "This is good for me, it takes the pressure off. I can start getting on with it," He told BBC News. "You want to make improvements but it's a long, tiring process to go through and quite expensive. Its nice to have a builder who is prepared to do that for you. "I want to increase the value of the property and rent out the second bedroom to get some income, so this really does benefit me. "It means I can start the work and get my lodger in quicker and won't be stressing about whether I get the permission or not. I don't need to even think about it any more."

THE NEW RULES FROM 1 OCTOBER

Loft conversions allowed up to 8ins (20cm) outwards from the eaves of the roof Lofts no bigger than 50 cubic metres (18ft x 12ft) for semi-detached and detached homes and 40 cubic metres for terraced houses Single or two-storey rear extensions allowed up to 10ft (3m) from the original house Loft conversions still restricted in conservation areas but ground-floor rear extensions allowed Building regulations still apply to all conversions.

Web sites that offer help with planning issues www.prestonconstruction.co.uk www.theloftspecialists.co.uk www.thebasementguys.co.uk.

Domestic planning applications have doubled in the last 10 years to almost 330,000 a year, the government said.

Around 90% of applications are accepted and ministers believe they are wasting the time of councils which should be freed up to concentrate on bigger projects. Councils will have the discretion to tighten or relax the rules to fit local circumstances. An experienced builder will have valuable knowledge on this.

Building regulations will also remain in place, which means people will still have to show that health and safety standards are met. We suggest that a builder who offers a guaranteed compliance with regulations is paramount, as there a literally thousands of regulations that must be met. The Royal Institution of Chartered Surveyors welcomed the changes but said there was a danger tensions between neighbours could increase if projects were not carefully thought through. A spokesman said: "Household applications are notoriously contentious and there will always be concerns
regarding privacy, overlooking and the loss of amenity.

"It is often not the size of an extension but the ability to overlook that causes contention."

A planning application officer from Preston construction based in Manchester said “We always try to advise prospective clients that it is a good idea to construct a project with neighbours in mind. We offer a full planning and building regulation consultation in all circumstances, as we believe that a present clients neighbour, could be a future client to us. If we have tried to understand all possible reactions to a proposal, we believe that will help for a smooth construction project later”