New research from StripeHomes analysed the change in new-build stock delivery and market values and how they’ve changed on an annual basis since the start of the pandemic.
According to the data, 216,489 new homes were delivered to the property market across England in 2020/21, -10.8% less than the previous year. At the same time, the average value of a new-build home climbed by 4.5% to £318,196.
This meant that the total value of new housing stock delivered to the market sat just shy of £69bn, a huge sum, but -6.7% less than the £74bn worth of new homes delivered the previous year.
In fact, despite new-build values climbing across every region, a dip in stock delivered means that just two regions have seen an annual increase in the total value of new homes built.
In the East Midlands, the total value of new-build homes delivered to the market sat at £5.6bn in 2020/21, 1.9% higher than the previous year despite the actual volume of new homes declining by -3.6%.
The South West also saw a marginal increase of 0.8%, with the total value of new homes delivered last year hitting £7.4bn, again, despite a -4.2% annual decline in actual volume.
In terms of the highest total value of new-build delivery, London tops the table where £18.5bn worth of new homes were delivered last year.
James Forrester, Managing Director of StripeHomes, commented: “The new-build sector has been working overtime to maintain stock delivery in what has been a couple of very challenging years for a whole number of reasons.
"Covid restrictions, labour shortages and the increasing cost of materials, amongst other things, have all posed problems for the nation’s housebuilders and so the knock-on effect was inevitably going to be a dent to the volume of stock delivered.
"Even a pandemic property price boom hasn’t been enough to bridge the gap where the total value of this stock is concerned, although it’s fair to say they’ve still put in a tremendous shift given the difficult circumstances and we take our hat off to them.”
