In the year to end November 2016 new build house prices rose on average by 6.0% across the UK, slightly down on last year’s figure of 6.7%, according to the LSL New Build Index.
However, if Greater London is taken out of the calculation the crude average house price growth is 4.4%, compared to a figure of 4.0% last year.
“Looking across the regions it can be seen that whilst some have come slightly off the boil over the past year, others have seen good growth,” said Shaun Peart of LSL Land & New Homes. “Year on year new build house price growth for Greater London has ticked up slightly this month and now stands at 9.5% for the year to end November 2016, slightly up on the same period last year when it was 8.5%.
“But of course Greater London covers a very large area and it is reported that some London Boroughs close to the centre are now seeing quite significant price falls whilst others further out are enjoying significant price rises.”
In the year to November 2015 East Anglia saw the fastest price rises (after Greater London), but over the past year it has fallen into fourth place, with a growth rate below that achieved last year. New build prices have been rising over the past year at the fastest rates in the South East, East Midlands and the South West. All three of these regions are showing healthy growth at or above 6% and a higher growth rate than the same period last year.
Of the remaining regions, the North West, Scotland and Wales are all seeing faster growth in new build house prices than the same period last year with rates at around 4%. Yorkshire & the Humber and the West Midlands are falling towards the back of the field with new build house price growth rates closer to 2%, whilst the North East has slipped back into slightly negative territory with a rate of -0.2%.