More than 35,000 new-build homes are under way, including wildlife-friendly garden community homes. And if you fancy renting a new-build, there’s good news too.
The number of new homes going up has soared by 31% as developers respond to strong demand from buyers.
More than 35,000 new private sector homes were registered during the first three months of this year, almost a third more than in the same period of 2021.
The increase is good news for first-time buyers who might want to use the Help to Buy equity loan scheme to get on the property ladder.
Figures were up for all property types, but the number of detached homes under construction has now soard to a 20-year high, according to the National House Building Council, which provides warranties on new-build homes.
The NHBC said housebuilders were responding to demand from buyers who want more space following the Covid-19 pandemic, particularly those who now work from home.
And there’s also good news for renters.
Nearly 11,000 Build to Rent and affordable properties began construction in the last three months, that’s 10% more than the same period in 2021.
Build to Rent provides homes that are designed and managed specifically for renters.
They often come with a range of high-end facilities, such as gyms, cinemas, communal chill-out zones, gardens, and concierge services, which are often all included in the rent.
What type of new homes are being built?
Developers are responding to consumer demand for more space following the pandemic, with the number of detached homes being built rising by 29% year-on-year.
Semi-detached homes were the second most common type of property, with 13,889 started during the three months, 24% more than during the same period of the previous year.
At the other end of the scale, only 630 new bungalows are being built, while the number of new terraced houses rose by just 4%.
Where are the properties being built?
Four regions of the UK saw a jump of more than 50% in the number of new-build homes going up.
Wales led the way with an 84% increase, followed by the East Midlands at 65%.
The West Midlands and London saw increases of 52% and 51% respectively.
The South East has the highest number of new builds under construction at 8,279.
The East Midlands is next with 5,430, while London is in third place with 4,722.
Scotland, Northern Ireland and the East of England were the only regions that saw a decrease in the number of new homes being built.
Even so, in the last three months 4,814 new properties started going up in the East.
What does it mean for me?
The rise in new build numbers is great news for first-time buyers who want to use the Help to Buy equity loan scheme to get on to the property ladder.
The scheme enables people to purchase a new-build home with just a 5% deposit, which the government then tops up with a 20% equity loan that’s interest-free for five years.
Those who want to use the scheme have until March 2023 to do so.
Meanwhile, First Homes offers discounts of between 30% and 50% on new-build properties to local first-time buyers and key workers.
The scheme is still at an early stage, but 1,500 homes should be made available through it in the coming two years.
The figures are also good news for families who want to trade up the property ladder to get more space, as developers are clearly responding to consumer demand in this area.
Alongside the Help to Buy scheme, many developers offer their own incentives, such as help with deposits for people buying certain plots, paying a buyer’s stamp duty and discounts for those in the armed forces.
Some will even buy your existing home from you.