Appetite among homebuyers for new-build homes has remained strong despite activity across the housing market starting to cool, new research has indicated.
Analysis by property developer Stripe Property Group has revealed that the new-build sector has helped to fuel 7.2% of all homes reaching the market for sale across the UK in the last fortnight.
The East Midlands has seen the largest boost for sale stock supply courtesy of the new-build sector, with new homes accounting for 9.2% of all homes listed for sale in the last two weeks.
Stripe Property Group also stated that 8.5% of all homes listed recently across the East of England have come via the new-build space, with Scotland (7.8%), the West Midlands (7.7%) and London (7.3%) also enjoying some of the largest supply boosts from new homes.
However, the property developer said it is not just supply that is benefiting from new-build delivery, but that the sector is also helping to fuel demand.
Stripe Property Group, which analysed Rightmove data in the fortnight ending 21 November, stated that 14% of all new listed homes have already gone under offer or sold subject to contract. This is 2% more than the existing market, where just 12% of recently listed homes have already sold.
In Scotland, a fifth of all new homes are being snapped up within two weeks, a figure 8.4% more than the 11% of existing homes that are selling within a fortnight.
Demand for new homes is 7.5% higher in Yorkshire and the Humber in comparison to the existing market, with the North East (+7.2%), East of England (+4.1%) and the North West (+3.1%) also seeing new-build demand sit some way above the demand levels for existing homes.
According to the data, demand for new homes is higher in all but three regions of the UK – which are in the South West (-0.5%), London (-0.7%) and Wales (-1.5%).
Managing director of Stripe Property Group, James Forrester, commented: “The property market as a whole is certainly starting to show signs of wear and tear following a period of turbulence spurred by increasing economic uncertainty. This has largely impacted the level of buyers entering the market, although we are now starting to see signs that house prices are stuttering.
“Despite this, the new-build sector continues to demonstrate strength and resilience and not only are a consistent level of new homes reaching the market, but the demand for these homes remains substantially higher than the appetite for existing homes across the vast majority of the nation.
“With as many as a fifth of all new-build properties selling within two weeks in some parts of Britain, the sector looks set to weather the current downturn, with new homes continuing to sell, while commanding robust market values in the process.”
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