New-build sector brings much needed boost to beleaguered housing stock levels
Research from new-build sales optimisation platform, Unlatch, has revealed that 7% of all homes listed for sale online in the last two weeks have been new homes, although in some areas new homes account for almost one in five property listings, as the new-build sector plays its part in satisfying the huge appetite for homeownership and addressing the shortage of stock available.
Unlatch analysed property stock reaching the market across England and what proportion of this has come via the new-build sector.
The research shows that, in the past 14 days, 67,025 homes have been listed for sale across England, of which new-builds account for 4,697, or 7%.
The North East has seen the biggest injection of housing stock thanks to the new-build market, with 12% of all homes listed for sale in the last two weeks being new-builds.
New-build homes account for the second largest share of new housing stock in the East Midlands (10%), followed by the East of England (8%), while this proportion is smallest in the South West (6%), North West (6%), South East (6%), and London (6%).
However, when analysing the market at county level, it’s Northumberland that has enjoyed the biggest boost to property market for sale stock thanks to the new homes sector, with new-build properties accounting for 17% of all stock listed for sale in the last 14 days.
Suffolk, Nottinghamshire, Leicestershire, Durham and Tyne and Wear also rank high, where over one in 10 homes listed for sale in the last two weeks have been new-builds.
Lee Martin, Head of UK for Unlatch says:
“We’ve seen a multitude of complications plague the new-build sector in recent times, from the increasing cost of materials, to labour shortages and, of course, the pandemic, to name but a few.
Despite this, the nation’s housebuilders have worked tirelessly to maintain output during a period of unprecedented demand for housing and they continue to deliver a much needed boost to stock levels on a weekly basis.
While a seven per cent market share in the last two weeks might sound insignificant, that’s almost 5,000 more homes than there would have otherwise been available and in some locations, the new-build sector has delivered more than one in 10 of homes listed for sale during this period.
It’s also important to note that the impact of the new-build market isn’t completely visible where topline market stock levels are concerned and it does, in fact, contribute to an even greater extent.
For a start, not every plot within a given development will be listed in one go and so the market will see a consistent boost over time as a result. There are also a number of ‘block deals’ currently happening within the market and a high number of off-plan sales that won’t even reach the market.
When you consider these factors, the level of stock coming via the new-build sector is likely to be far higher than those being listed via the traditional routes alone.”