The number of people searching for ‘second-stepper’ and ‘forever’ homes is up 14% nationally. Indicating that homeowners already on the property ladder are comfortable with the new ‘affordability-normal’ and are keen to benefit from the advantages of a new build property.
However, the number of people searching for Help to Buy properties is down 18% nationally possibly indicating that affordability and increased deposit requirements are causing first-time buyers to reconsider plans to purchase a first home.
New build stock levels have increased nationally by 7%. The numbers are led by an increase in three and four-bedroom semi-detached and detached homes, which are most in demand by buyers.
The price of new-build property coming to market hits a record of £384,738, up by 7.2% from the same period last year (+£26,090).
New data from whathouse.com reveals that interest rate and cost of living increases do not appear to have dulled plans to move to a new-build home for many as the number of people searching for new-build homes increases to 50,398 in May (+3,534, an 8% increase on April 2022). In addition, data also finds that new build property coming to market has hit a record of £384,738, up by 7.2% from the same period last year (+£26,090).
Daniel Hill, Managing Director, whathouse.com comments: “The data appears to show that - despite economic uncertainty - new build homes are storming ahead of second-hand properties when it comes to consumer confidence and desirability, and it’s no surprise why. The reality is that the pandemic drastically changed what people want from their homes and the current economic uncertainty means lower maintenance costs and energy efficiency are now a priority.
"The UK’s new home developers have responded intelligently, with semi-detached and detached properties conceived with homeworking in mind, boasting energy-efficient designs and sustainable construction techniques. Added to this, homeowners can often customise the design and finishings and negate the risk of anything going wrong thanks to a new home warranty such as the National House-Building Council.
"As a combination of monthly outgoings and ability to borrow affect affordability, the first-time buyer market is extremely difficult to predict. However, with the Government bringing forward the Help to Buy scheme’s property reservation deadline by two months to October - ahead of the scheme’s conclusion in March 2023 – we anticipate a final flurry as first-time buyers lock in fixed-rate mortgage deals and ensure they’ve legally exchanged on their home before the cut-off.”
