The demand for newbuild homes in England has been steadily increasing, and housebuilders are doing an impressive job of tailoring their housing supply to meet this demand.
Analysis conducted on current buyer demand for new homes across England has revealed that demand for new-build homes currently sits at 19.2%. This indicates a strong interest in new properties that offer modern amenities and energy efficient features.
In Q3 2022, 40,210 new homes were completed, while construction was started on a further 45,590. These figures demonstrate the housing market’s ability to respond to the needs of homebuyers and provide them with the homes they are looking for.
The South West of England is currently experiencing the highest new-build demand, with homebuyers already having snapped up 26.7% of listed homes.
The region has also seen the third-highest number of newbuild completions (4,950) in the last quarter, with work starting on a further 5,070 which ranks fifth in the nation. This is a clear indication of the high demand for new properties in the South West.
The South East of England is home to the second-highest buyer demand at 25%. The region ranks first in England for new-builds completed (7,380) and started (7,710), indicating that the area’s housing market is booming.
The East of England is the only other region to enjoy above average new-build demand at 23.3%, and it ranks second for both new-build completions (5,839) and new home starts (6,970) in Q3, 2022. These regions are clearly attractive to homebuyers, and house builders are responding to this demand by building new properties.
On the other hand, demand is below average in the East Midlands (17.5%), London (17.3%), West Midlands (16.4%), Yorkshire & Humber (16.2%), and North West (10.2%).
Although demand is lower in these regions, it’s important to note that this may be due to various factors such as economic conditions, population growth, and job opportunities.
The North East of England has the lowest demand for newbuild homes at 8.6%, which is reflected by its also being home to the lowest number of completions (2,020) and starts (2,450). This may be due to the region’s economic conditions and lack of job opportunities, which can impact the housing market’s demand.
The housing market’s ability to respond to the needs of homebuyers is critical in ensuring that individuals and families can find homes that meet their needs and budget.
Housebuilders are tailoring their housing supply to meet the current homebuyer demand for new homes, and this is reflected in the strong demand for new properties in certain regions.
Moreover, the construction of new homes offers benefits beyond just providing a place to live. It creates jobs, drives economic growth, and provides much-needed housing supply. In areas where demand is low, efforts should be made to address the underlying factors that are impacting the housing market’s demand.
Overall, the analysis of current buyer demand for new homes across England and the level of new-build stock being delivered and under construction demonstrates the housing market’s ability to respond to the needs of homebuyers.
Housebuilders are doing an impressive job of tailoring their housing supply to meet the demand for new properties, and this is a positive development for the housing market and the economy as a whole.
