United Kingdom Property News

UK new home prices on the rise

The price of newly built properties for sale in the UK is on the increase, a study conducted by SmartNewHomes has discovered.

The company said that the price of purchasing a brand new home was a full 1.1 per cent higher as of the end of 2012 than they were a year earlier, in spite of the fact they witnessed a fall in December.

It now costs an average of £229,571 to purchase a house, which means that the sector saw an increase in the 12-month period of £2,473.

Much of the growth in the market for new builds could be attributed to the NewBuy scheme that the government launched in March of last year. The project was aimed at getting newcomers who had a low deposit onto the ladder through a series of loans that would see them only need a down payment of five per cent of the cost of a house.

Steven Lees, director of SmartNewHomes, said: "Strong and sustained demand for new homes, particularly from first-time buyers eager to take advantage of the shared equity schemes available from house builders and the government, meant that prices fluctuated by only £10,000 across the year. This compares to £22,000 in the wider market."