New build house prices boom by as much as 48% since 2015, out performing the regular market across the UK

New build house prices boom by as much as 48% since 2015, out performing the regular market across the UK

New build house prices boom by as much as 48% since 2015, out performing the regular market across the UK

The latest research from new build snagging company, HouseScan, has revealed where new build homebuyers have enjoyed the largest return on their investment in the last five years, as the strongest pockets of the new build market see prices boom by as much as 48%.

HouseScan analysed new build house price growth across the sector and found that with a current average of £302,927, new build property prices across the UK have jumped 27% since 2015; comfortably outpacing the 20% increase seen across the existing market.

This growth has been driven by the Midlands where new build house prices have climbed by 35% and 32% across the East and West Midlands respectively.

London has seen the lowest rate of new build house price growth in the last five years. Despite this, new build homeowners in the capital have still enjoyed a 17% uplift in the value of their property.

Again a greater rate of growth than the 13% seen across the existing market which is a trend seen across all regions of the UK.

Highest five year new build growth

Corby in the East Midlands is the hottest spot in the UK for new build house price growth in the last five years. The area has seen new build property prices boom by 48% since 2015, far higher than the 36% seen across the regular market.

Newport in Wales and Salford in the North West have also seen some of the strongest new build house prices growth in this time, up 46%. Both respectively joined in their regions by Monmouthshire (44%) and Manchester (43%).

Nuneaton and Bedworth, Oadby and Wigston, Harborough, Tamworth and Tameside also rank in the top 10 areas for new build house price appreciation since 2015, having also seen prices increase by 43%.

In London, Redbridge ranks top with a 31% uplift, with Barking and Dagenham (29%), Newham, Bexley and Havering (28%) also performing well.

Biggest increases vs existing market

When it comes to new build house price growth vs the regular market, West Suffolk has seen the strongest performance. In the last five years, new build values have increased by 38%, 16% more than the 12% increase seen across the regular market.

Oldham, Glasgow, the City of London and Gosport have also seen some of the strongest new build price performances when compared to the regular market, with new build growth outstripping the regular market by 14% since 2015.

Founder and Managing Director of HouseScan, Harry Yates, commented:

“Despite the problematic landscape created due to Covid, the new build market remains a strong investment for UK homeowners, with values continuing to not only climb but doing so at a far greater rate than existing bricks and mortar.

While an initial investment in a new build property will require homebuyers to pay a premium, it’s worth every penny in the long term. Even against the backdrop of a global pandemic and a period of prolonged political uncertainty caused by the EU Referendum, new build values have remained resilient and registered some extremely strong uplifts over the last five years.”

Table shows average new build house price growth vs existing in since 2015 by UK region
Location New Build House Price (Sep 2015) New Build House Price (Sep 2020) Change (%) Existing House Price (Sep 2015) Existing House Price (Sep 2020) Change (%) NB Vs Existing Change (%)
East Midlands £207,318 £279,254 35% £158,730 £198,020 25% 10%
West Midlands Region £216,299 £284,732 32% £164,694 £204,338 24% 8%
Wales £173,370 £227,409 31% £138,216 £167,794 21% 10%
North West £181,896 £238,034 31% £140,501 £171,813 22% 9%
East of England £292,199 £379,876 30% £243,997 £297,868 22% 8%
South West £251,525 £323,942 29% £222,578 £269,229 21% 8%
Yorkshire and The Humber £172,589 £221,114 28% £142,806 £170,099 19% 9%
South East £314,842 £394,580 25% £282,429 £331,804 17% 8%
Northern Ireland £136,310 £169,923 25% £113,209 £136,534 21% 4%
Scotland £180,079 £224,341 25% £136,442 £158,057 16% 9%
North East £168,832 £200,486 19% £119,697 £131,135 10% 9%
London £432,855 £507,961 17% £440,322 £496,541 13% 5%
England £254,776 £323,994 27% £213,706 £256,239 20% 7%
United Kingdom £237,132 £302,927 28% £199,939 £239,417 20% 8%
               
Table shows the areas of the UK to have seen the highest levels of new build house price growth since 2015
Location New Build House Price (Sep 2015) New Build House Price (Sep 2020) Change (%) Existing House Price (Sep 2015) Existing House Price (Sep 2020) Change (%) NB Vs Existing Change (%)
Corby £187,366 £277,088 48% £135,650 £184,677 36% 12%
Newport £179,476 £262,816 46% £135,166 £183,020 35% 11%
Salford £147,374 £215,255 46% £125,344 £170,867 36% 10%
Monmouthshire £277,300 £399,382 44% £208,918 £280,816 34% 10%
Manchester £158,788 £227,756 43% £143,534 £190,107 32% 11%
Nuneaton and Bedworth £231,465 £331,812 43% £137,563 £182,618 33% 11%
Oadby and Wigston £210,436 £301,442 43% £171,217 £224,470 31% 12%
Harborough £257,042 £367,027 43% £231,367 £304,314 32% 11%
Tamworth £163,321 £233,191 43% £148,576 £198,759 34% 9%
Tameside £155,510 £221,962 43% £120,307 £158,944 32% 11%
               
Table shows the areas of London to have seen the highest levels of new build house price growth since 2015
Location New Build House Price (Sep 2015) New Build House Price (Sep 2020) Change (%) Existing House Price (Sep 2015) Existing House Price (Sep 2020) Change (%) NB Vs Existing Change (%)
Redbridge £432,718 £568,526 31% £353,981 £427,579 21% 11%
Barking and Dagenham £304,338 £393,922 29% £240,342 £297,626 24% 6%
Newham £387,244 £495,866 28% £299,024 £366,494 23% 5%
Bexley £271,970 £347,377 28% £287,913 £345,815 20% 8%
Havering £318,651 £406,641 28% £298,502 £370,626 24% 3%
Waltham Forest £383,855 £485,549 26% £370,973 £458,557 24% 3%
Croydon £298,043 £369,353 24% £321,441 £380,378 18% 6%
Hackney £531,132 £656,248 24% £522,331 £606,239 16% 7%
Greenwich £341,451 £421,329 23% £341,767 £401,145 17% 6%
Lewisham £343,170 £416,324 21% £370,766 £433,084 17% 5%
Sutton £338,688 £409,347 21% £333,948 £382,605 15% 6%
               
Table shows the areas of the UK to have seen the largest rate of new build house price growth vs the existing market
Location New Build House Price (Sep 2015) New Build House Price (Sep 2020) Change (%) Existing House Price (Sep 2015) Existing House Price (Sep 2020) Change (%) NB Vs Existing Change (%)
West Suffolk £264,232 £365,278 38% £213,037 £260,185 22% 16%
Oldham £143,802 £199,880 39% £113,836 £142,353 25% 14%
City of Glasgow £145,414 £200,870 38% £114,058 £141,749 24% 14%
City of London £797,565 £885,507 11% £758,449 £737,517 -3% 14%
Gosport £184,739 £253,658 37% £170,968 £211,499 24% 14%
City of Edinburgh £242,501 £328,282 35% £225,877 £275,498 22% 13%
Blackburn with Darwen £147,936 £193,127 31% £100,078 £118,245 18% 12%
High Peak £200,857 £277,820 38% £164,394 £207,234 26% 12%
Cannock Chase £196,768 £269,577 37% £143,373 £178,889 25% 12%
Oadby and Wigston £210,436 £301,442 43% £171,217 £224,470 31% 12%
North East Derbyshire £225,632 £310,354 38% £159,860 £200,833 26% 12%
Greater Manchester £161,863 £228,517 41% £140,768 £182,039 29% 12%
Maldon £278,660 £376,088 35% £273,508 £336,762 23% 12%
Rossendale £180,041 £254,722 41% £114,270 £148,189 30% 12%
Corby £187,366 £277,088 48% £135,650 £184,677 36% 12%
Merthyr Tydfil £141,480 £187,819 33% £85,587 £103,569 21% 12%
Barnsley £126,972 £170,876 35% £106,579 £131,012 23% 12%
Folkestone and Hythe £239,883 £332,036 38% £207,014 £262,530 27% 12%
               
New build house prices boom by as much as 48% since 2015, out performing the regular market across the UK
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New build house prices boom by as much as 48% since 2015, out performing the regular market across the UK

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New build house prices boom by as much as 48% since 2015, out performing the regular market across the UK
BDC 280. MAY 2021

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New build house prices boom by as much as 48% since 2015, out performing the regular market across the UK