Insurance News Archive
New homes decrease in size
The average size of a newly-built property has decreased over the last 12 months.
New research reveals an average new property covers an area of 973sq ft, compared with 988 sq ft last year.
Wolsey Securities also found a greater proportion of flats are being built compared to detached homes. This year, 61 per cent of new properties are flats and 16 per cent are detached homes.
This represents an increase in the housing mix of flats of seven per cent and a decrease for detached homes of six per cent.
The decrease in the size of new properties and the change in the housing mix are being put down to government policy which encourages the construction industry to concentrate on higher density developments to meet the greater demand for housing.
Mike Ratcliffe, Wolsey Securities chief executive, said: "As a result of the government demanding greater density, which is most achievable through apartments and least achievable through building detached houses, we are seeing an increasing proportion of apartment schemes coming through in the market.
"This drive to increased density is not necessarily market-led but dictated by the government, and as a consequence has resulted in a state of oversupply of apartment accommodation in certain markets to the detriment of more traditional housing."
27 Jul 2006