LSL's Latest New Build Index

Our latest publication of the LSL New Build Index has been released.

From our data it shows in the year to the end April 2015 the year on year growth in new build prices is 7.3% which is slightly up on last month’s figure and nearly double last year’s figure as the graph illustrates.

For the third month in a row, however, growth in Greater London new build prices is slowing with the main growth area now being in the Southern regions (based on a line from the Wash to the Humber and excluding Greater London), which, at 6.6%, is more than three times the figure of April 2014. Growth in the Northern regions has, in contrast, tailed off over the past two months.

In terms of the future many believe that the combination of changes in the pension system, continuing low interest rates and greater political certainty following the election will have a positive impact on the housing market. Add this to talks of a Northern Powerhouse and the continuation of Government schemes to help buyers of new property it also appears to be good news for the new build market, in particular, although it will be interesting to see what impact the closure of the Help to Buy (Scotland) scheme will have on the Scottish market.

Affordability, of course, will be a contributing factor to future house price growth and, there are vast differences across the country.

Read the full report here.