What Drives the UK New Homes Market?

Posted by The Landsite on 6th June 2023 -

In today’s market, property developers and builders must meet the needs of the property buyer looking for good quality, modern and innovative homes.

What are the key drivers of the UK new homes market?

Affordable housing 

A lack of new home developments has left first time buyers struggling to find new starter homes or affordable housing in today's market.  It is crucial for property developers and builders to build houses that are accessible and affordable, without compromising on quality or design.  

Low carbon goals   

In recent years homeowners are searching for new ways to create an eco-friendlier lifestyle and reduce their carbon footprint.  There is a demand for developers to build new homes that are energy efficient.  The Future Homes Standard will ensure that new homes built from 2025 produce 75-80% less carbon emissions.  This can range from the use of enhanced double glazing, effective insulation and low-energy lighting to the incorporation of renewable energy sources, such as solar panels and heat pumps. 

Modular construction 

In April 2021, Savills reported that up to 10% of new homes were being built by modern modular construction methods.  The lower costs and comparatively shorter building time spans for projects are contributing towards the growth of the market.  In addition, given that the result is durable and needs relatively low ongoing maintenance, modular construction also answers the call for high performance structures over the long term.

New home technology 

Another important aspect of the new homes market is the focus on technological innovation.  From smart home technology and residential security features to the latest in architecture and design, there's a growing demand for contemporary and fully functional homes.  

Architecture & design 

New build homes which incorporate design, alongside customisation, presents an opportunity for developers to push the boundaries of what's possible in new home design.  Open plan living and multi-purpose features in new homes are increasingly popular as a large sway of the UK workforce are still opting to work from home.  With more and more people looking to create homes that reflect their personality and lifestyle, it's important for developers to factor in these requirements and offer a range of design concept styles to choose from. 

Are you a property developer or a builder looking for opportunities?  Find services for your development project on The Landsite. 

The Landsite is a digital services hub for the real estate sector.  We connect property developers, investors and landlords with businesses, new homes, land and commercial properties. 

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The Landsite is a digital services hub for the real estate sector. Connecting property developers, investors and landlords with businesses, new homes, land and commercial properties.  

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