Mon 2 Jun 2008
South-east drives new-build home prices rises
The price of new homes across some parts of the UK, particularly the south-east, have appreciated for a second consecutive month, according to the latest SmartNewHomes monthly index.In April, the south-east accounted for 36% of all new homes for sale, boosted largely by a strong resurgence in apartments, along with a continued demand for larger family homes. This was reflected in the strong prices recorded across the region, which increased by 1.9% in a month, and 7.1% for the year from April 2007.
David Bexon (pictured), managing director of SmartNewHomes.com, commented: “In recent months it has become clear that demand is going through a period of correction. Whereas apartments have been at the forefront of new development for a number of years, detached homes are now performing well, accounting for around quarter of all new homes and with prices up 2.5% in April.
“Apartments still remain a popular home choice in some regions, as indicated by increased demand and strong prices in the south-east. However, current issues of oversupply in some northern locations have led to a dip in prices in these areas over the short term. I expect to see a recovery here, and across the board, as homebuyer confidence continues to increase, thanks to a plethora of excellent developer incentives and signs of enhanced mortgage availability now starting to filter through.”
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