A recent buyer sentiment survey by Knight Frank reveals a shift in housing preferences, with one-fifth of respondents expressing an interest in purchasing a new home. This marks an increase from the 13% recorded in the three preceding years.
Energy efficiency has become a crucial factor for homebuyers, with 60% citing it as their primary reason for choosing a new build. This trend is driven by the desire to reduce winter heating costs and mitigate the effects of increasingly frequent summer heatwaves.
Anna Ward, Associate in Knight Frank’s research team said:
"Energy efficient new homes are on the rise, with the number of new homes awarded top EPC A grade hitting a record high in the second quarter of this year. We are now seeing an uptick in demand for these homes, with our survey showing the first notable shift in over three years. This trend has longer to run as more buyers are also taking note of future environmental regulations and planning ahead."
Factors that make homes more energy efficient in winter can also help keep the heat out in the summer, something which is likely on the minds of homebuyers now as temperatures soar.
A high EPC on a property can demonstrate it has good insulation and glazing, ensuring it can stay cool in summer and warm in the colder months. The survey also found an increase in the proportion of respondents who do not want to install energy improvements themselves. This has increased from a fifth two years’ ago to nearly 30% today, pointing to the rising convenience of new homes.
The appeal of new builds extends beyond energy efficiency. Buyers are attracted by the opportunity to have input into off-plan purchases and the absence of a seller chain. Additionally, 25% of respondents cited future environmental regulations as a key consideration in their decision-making process, up from 20% two years ago.
Mark Evans, Head of Regional New Home at Knight Frank, adds:
"The demand for new homes is clearly there, and we have seen an increase in the number of enquiries and sales in recent weeks in certain parts of the UK, particularly the South East and Central regions. Developers are needing to include as many energy efficient features as they can for the discerning buyer, who is looking at the long term to their choice of home and are looking to take advantage of these opportunities."
