Skip to content

New build price growth outperforms the rest of the housing market in the UK

It means that new builds are worth 9% more than the average house, according to the analysis from the Halifax.

Nationally, there has been an increase of 40% from £166,473 over the past 10 years, while regionally, the biggest rise in the past 10 has been in Greater London where the average price for a new home has risen by 57% to £415,540.

The research shows that the north-south divide is as prevalent in the price of the new homes market as it is in the overall market. Over the past five years, more than half of UK regions saw the average price of new homes fall, with the north experiencing the greatest fall of 10% to an average of £157,190.

The research also shows the most popular types of new property sold. In 2012 some 37% of sales were flats, followed by terraced houses at 24% and detached properties 23%.

Yorkshire and the Humber had the greatest proportion of terraced properties sold at 30%, with Greater London seeing the highest proportion of sales of new build flats in 2012 at 88%.

‘In a relatively flat housing market, the new homes market has changed enormously over the past five years. We have seen a lot of positive sentiment towards the new homes market, with various schemes launched to get the house building industry moving and changes in policies and deposit requirements allowing shared equity buyers to participate more fully in the new build market,’ said Craig McKinlay, new mortgages director for Halifax.

‘We are continuing to increase the number of builders we are working with and it is a testament to our commitment to put the purchase of a new build home back within the grasp of both first time buyers and home movers,’ he added.

Halifax said that it is a leading affordable housing lender and one of the biggest supporters of the New Buy Scheme. One year on since the launch of a range of mortgages to support the New Buy Scheme, Halifax has signed up its 64th house builder partner representing 90 individual builder brands.

To date, Halifax has helped approximately 1,900 buyers' purchase through NewBuy, representing one in three of all applications and completions on the scheme.

Since the launch of the NewBuy scheme in March 2012, in addition to nationwide builders, Halifax has partnered with smaller local and regional builders through a multi user cell network. This ensures that lower volume builders can also participate in the scheme.

Related