New research has revealed that new-build home sales have declined by 46% in the past year and, perhaps more strikingly, 39% in the past decade.
In 2020, there were 76,764 new-build sales in Britain, while in 2021, there were just 41,634, according to Warwick Estates. This 46% drop is significant but is likely a result of pandemic knock-on effects creating issues with labour and building materials, as well as hold-ups caused by the recently introduced External Wall System Fire Review (EWS1) certificate.
In 2011, there were 68,677 sales which means the 10-year decline is 39%.
The biggest regional one-year decline has been seen in Yorkshire & Humber, where numbers have declined by 62%, from 5,871 sales in 2020 to 2,236 in 2021. Big drops have also been recorded in the North East (61%), Wales (60%), and the East of England (58%).
The most significant 10-year drop has been recorded in Wales, where sales have fallen by 77% from 3,102 in 2011 to just 725 in 2021. Large declines have also been seen in the North East (62%), East (59%), and South West (58%).
As for where the biggest appetite for new build homes is currently found, Scotland strides ahead of every other region after recording 11,603 new-build sales in 2021 followed by the South East (5,094), London (4,627), and the North west (3,674).
New-build sales volume data sourced from UK House Price Index