Q1 2000 new house-building statistics UK 14/02/06
In Great Britain the average expected selling price of new homes started during the first quarter of this year was up 19 per cent on the same period in 1999. For first time buyers the less welcome news is that their ability to buy decreased in this quarter. The figures are published in NHBC's (National House-Building Council) first quarter report for 2000.
The average expected selling price of new homes (registered with NHBC) was £126,000 during the first quarter of 2000, a 19 per cent increase on quarter one 1999 (£106,000). Based on actual selling prices, the proportion of homes priced at over £100,000 went up to 45 per cent, a significant increase on the same period last year (35 per cent).
During the quarter, NHBC's first time buyers' ability to buy index showed a decrease of two points to 111, compared with 113 in the fourth quarter of 1999. The index is based on a formula which takes into account the average cost of homes bought by first time buyers, average income and mortgage interest rates (from the Nationwide Building Society). The higher the index, the greater the ability to buy.
Rod MacEachrane, NHBC group director of operations, says: "New housing completions have risen strongly so far this year, with a five per cent increase in the first quarter of this year as compared to 1999. In spite of the drop in the NHBC registrations in the first quarter, house builders increased activity in the West and East Midlands, South West and Northern Ireland. Budget increases in stamp duty on properties over £250,000, which affect just over five per cent of new home sales, and abolition of MIRAS, should help slow house price inflation and ease pressure on interest rates."
UK-wide figures show a total of 43,425 applications to start new homes during the quarter, a seven per cent decrease on the same period in 1999 (46,450). Of that total, 39,355 relate to private sector activity (i.e. excluding housing associations), and show a four per cent decrease on 1999 (40,890). Housing association starts totalled 4,070 - a decrease of 27 per cent on quarter four 1999 (5,560).
NHBC figures show there were 35,530 new build completions during the first quarter of 2000, up 5 per cent on the same quarter last year (33,880).
The figure for the average daily sales of homes in the first quarter of 2000 is 521, an increase of nine per cent on the same period a year ago (480), showing stability within the market.
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