Encouraging statistics from the National House Building Council (NHBC) shows that over 43,000 new homes were registered between July and September, an impressive 15% increase compared to the same period in 2017.
“43,578 new builds registered in the 3rd quarter of 2018 is the highest amount of new homes registered since the 3rd quarter of 2007, just before the global financial crisis.” Source: NHBC
The current government has set a yearly target of 300,000 new home builds by 2022, however, according to a recent survey conducted by Knight Frank, housebuilders believe this target may be missed by 50,000.
Although, with continued large development projects underway in London, recent government statistics show that new builds are continuing to rise across the UK.
“The upturn in registrations over recent months is good news for the industry and shows that there remains a strong demand for high-quality new homes in many parts of the UK. The industry remains cautious in the short-run until the economic impact of Brexit is clearer.” Steve Wood, NHBC’s chief executive
With reputable property firm Jones Lang LaSalle predicting a swift recovery for housing prices throughout 2019 and an increase in house prices by 11.4% across the next five years, property development continues to define predictions initially set after the outcome of the referendum on the UK’s EU membership. Read more.
Despite initial concerns focused on the future of the UK housing market, current statistics from the NHBC and government departments indicate that property development can continue to be profitable. We anticipate that the number of first-time buyers will increase throughout 2019.
Current Housing Secretary James Brokenshire believes that current figures underline that the UK property construction market can meet the government’s target of 300,000 new homes built a year by the mid-2020s, highlighting that builders have started construction on more new homes than at any point in the past decade.
“These figures show further encouraging progress towards our commitment to deliver a housing market that works for everyone while boosting the supply of new homes across the country.” James Brokenshire, Housing Secretary
At Hunter Finance, we understand the importance of building new homes in the right area. By researching the area, you’ll be able to understand the property development industry further. Read more here.
We continue to provide quick and easy finance for property developers that can help them build properties on time and on budget. If you’re interested in property development finance from us, contact us on 01825 749721 or contact us here for more information.