April drop for new-build market

The SmartNewHomes.com New Homes Index and Migration Monitor research revealed property prices fell by 3.1 per cent in April, from March’s total of £264,709, to £256,521.

However, despite a drop in average property prices of UK new homes, the April findings revealed a rise in the popularity of semi-detached properties.

The monthly New Homes Index and Migration Monitor by SmartNewHomes.com revealed the average price of a semi-detached house rose 10.7 per cent, from May 2005, with 2 per cent more semi-detached properties on the market than in May 2005.

Apartments continued to dominate the monthly Index, accounting for 56.6 per cent of the properties for sale in the new-build sector. Detached properties accounted for 26.3 per cent, rising 1.4 per cent from March’s total, with semi-detached properties accounting for 7.7 per cent of houses for sale.

Commenting on the findings, James Cotton, mortgage specialist at London & Country, said: “There has been a lot of development of properties in recent years and many properties have hit the market at a similar period, so prices have dropped a little. However, the new-build market as a whole seems to be holding up. Obviously it depends on where you live, but properties seem reasonably priced for first-time buyers and other buyers, such as young families.”

He added the demand for semi-detached properties had grown as more and more people were realising the new-build opportunities. He explained: “Semi-detached property demand has grown as many properties are now designed with modern living in mind. Properties are also often at pretty good prices, depending on where you live.”