Rightmove calls for action as new-build development hits decade low

The number of new build housing developments coming to market is at its lowest level since 2017.

Analysis by Rightmove tracked the number of housing developments listed for sale on the portal for over ten years and excludes retirement developments.

Not since January 2017 have there been fewer new build developments coming to the market for sale.

These figures come despite the current Government’s target to bring 1.5 million new homes to the market over the course of the current parliament.

CALLS FOR ACTION

The portal suggests the data illustrates how the Government is not on track to meet its own target of building 1.5m homes over the course of this parliament.

Rightmove said it would like to see the following measures considered in the upcoming Autumn Budget to have a greater chance of realising the ambition to build more homes.

• 1. Removal of stamp duty for first-time buyers across both new build and resale properties, unlocking greater affordability for those at the start of the home-owning journey across the whole property market
  2. Government to go further with investment towards affordable housing provision, giving developers more certainty in this area, as well as help to provide much needed affordable homes. Viability is a huge challenge for developers. Building costs, development obligations such as affordable housing and local infrastructure, higher interest rates and many more factors need to be accounted for which has become more challenging
  3. Careful consideration of targeted demand-side support measures for first-time buyers to make it easier for them to get on the ladder

NEW FIRST-TIME BUYER SCHEME

Steve Mariner, group sales and marketing director at Barratt Redrow, suggests a new scheme to support first-time buyers, with developers contributing alongside Government, would help people achieve their dream of homeownership, get the market moving and see more homes built and more economic growth.

He adds: “For the first time in decades there is no government support to help people in England buy their first home, right when it’s needed most.”

Colleen Babcock, Rightmove’s property expert, says: “Despite the historically high number of available homes for sale, there is still a long-term shortage of affordable homes in the right place. We need more homes to support people at every stage of the moving journey, from first-time buyers to downsizers.”