Tom Kirk, director of NHBC Scotland, says: "After a disappointing first quarter it is encouraging to note an increase in the figures for quarter two, even if the rise is small. Hopefully this is the start of a trend that will continue in the remainder of the year."

In Scotland the average anticipated selling price of new homes (registered with NHBC) during the second quarter of 2000 was £92,000, a two per cent increase on quarter two 1999 (£90,000). Based on actual selling price, the proportion of homes sold for over £100,000 was 30 per cent, an increase on the same period last year (22 per cent).

For quarter two NHBC's first time buyers' ability to buy index stood at 109, three points lower than the previous quarter. 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.

UK-wide figures show a total of 39,860 applications to start new homes during the quarter, a one per cent increase on the same period in 1999 (39,275). Of that total, 36,450 relate to private sector activity (i.e. excluding housing associations), and show a five per cent increase on 1999 (34,735). Housing association starts totalled 3,410, a decrease of 25 per cent on quarter two 1999 (4,540).

NHBC figures show there were 40,075 new build completions during the second quarter of 2000, down one per cent on the same quarter last year (40,610).

The figure for the average daily sales of homes in the second quarter of 2000 is 582, an increase of one per cent on the same period a year ago (574), showing stability within the market.

Q2 2000 regional figures

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