Hazelwood Park underscores demand for smaller houses

16th November 2017

According to the DCLG, houses now make up 75% of all new builds compared to flats, the highest proportion since 2001/02. That is in stark contrast to 2008/09 when 50% of all new builds were apartments.

With the average first-time buyer now aged over 30 and often having a young family following a spell in rented accommodation, housebuilders and planners have responded by emphasizing smaller homes with two—and three-bedrooms.

That approach has certainly made a difference. At Hazelwood Park not far from Epping, Beresfords are marketing a scheme for Wm Thompson Homes who are building fourteen 2/3 bedroom houses with prices starting at £410,000.

Demand is such that 70% have been sold even though they aren't ready for occupation yet, and half the buyers have taken up Help to Buy.

It was a similar story at Crest Nicholson's Lightermans Place development at Maldon, where the 2—and, in particular, 3-bedroom houses sold exceptionally well, making it one of their best-performing sites in the region. Again, younger couples tend to use Help to Buy.

On both developments, there was also very strong demand from downsizers who recognised the eco-friendly and low-maintenance advantage of new builds.

Beresfords Land & New Homes director Aaron Breakwell said, "It's no surprise that demand is so strong for smaller houses; they have been really scarce on new-build schemes in recent years. That has led to small second-hand Victorian terrace cottages in places like Brentwood and Chelmsford achieving very strong values, so it's good to see the balance is changing when it comes to new developments."

If you are a developer and want advice on the mix at your development or to chat about Help to Buy contact our Land & New Homes team.