New-build housing demand across Britain remained resilient in the first quarter of 2025, with nearly one in five newly listed homes finding a buyer, according to the latest New-Build Demand Index from Ceres Property.
The national figure stood at 18.4% for Q1, indicating that just under one in five new-build properties listed during the period secured a buyer.
While this represents a slight year-on-year decline of 0.7%, the data reveals notable regional gains, particularly in Scotland and parts of the Midlands and North of England.
Aberdeen recorded the most significant rise in annual demand, with a 14.3% increase compared to Q1 2024. Edinburgh (+4.1%) and Glasgow (+3.6%) also posted strong annual gains, making it a clean sweep for Scottish cities at the top of the new-build demand growth rankings.
ENGLISH CITIES
Outside of Scotland, Manchester led the English cities, registering a 3.2% annual increase in demand. Nottingham (+1.9%) and Leicester (+1.5%) also saw moderate improvements.
In terms of absolute buyer appetite, Southampton emerged as the most active new-build market. The south coast city saw 29.1% of its listed new-build stock secure a buyer in Q1 — the highest proportion in the country. Bournemouth (22.4%), Sheffield (22.4%), Bristol (21.2%), and Newport (21.2%) also ranked among the strongest-performing markets by current absorption rate.
CONSISTENT APPETITE FOR NEW HOMES
Iain Halls, Partner at Ceres Property, says: “Our gauge of new-build homebuyer demand suggests that the appetite for new homes has remained largely consistent throughout the first three months of the year when compared to the same period in 2024.
“Of course, buyer activity does fluctuate when analysing the market on a more granular level, however, across a number of major cities there has been an increase in the number of new-build homes securing a buyer so far this year.”
POSITIVE YEAR AHEAD
Halls adds: “The impending stamp duty deadline has almost certainly played a part and it’s likely that many buyers will be sitting tight until the dust has settled.
“However, with the expectation of further improvements to mortgage affordability levels over the coming months, 2025 is looking to be an even more positive year for the new homes sector and we expect to see demand for new-build properties climb as the year progresses.”
