New home registrations rally at end of year: NHBC | Mortgage Strategy

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UK housebuilders logged 23 per cent fewer new homes to be constructed in 2020 than in 2019, says the National House Building Council, but points to a Q4 recovery as positive news.

The total number of new homes registered in 2020 equalled 123,151 compared to 160,319 in 2019.

The final quarter good news was a 34 per cent increase on Q3 2020’s number, with registrations in Q4 2020 down only 2 per cent on Q4 2019, coming to 39,749 new homes being registered.

The biggest falls in registrations across the year by region were Northern Ireland, which saw a drop of 38 per cent, followed by England’s South East tied with Scotland, each logging falls of 28 per cent.

London, meanwhile, saw a fall of 21 per cent.

Least affected was the East Midlands, which saw a more limited fall of 11 per cent.

In terms of housing type, 81,067 homes were registered in the private sector and 42,084 in the affordable and built to rent sector. Respectively these numbers describe falls of 26 per cent and 16 per cent on 2019.

NHBC chief executive Steve Wood says: “Against the backdrop of the Covid-19 pandemic, the new build housing market has held up very well, with housebuilders showing resilience and adaptability throughout 2020.

“Last Spring saw a sharp shock to the housing market and it is heartening that by the close of 2020, productivity levels had moved very close to those seen in late 2019.

“Confidence in the housing market, particularly for newly-built homes, remains strong with many larger housebuilders forward sold into the summer despite the continued impact of the pandemic and prevailing economic uncertainties.”


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