New homes as valuable as older ones

Posted: 05 Nov 2007 13:49:09 GMT

New build homes in the UK are no more likely to lose value than other properties.

New build homes in the UK are no more likely to lose value than other properties.

That is according to the Home Builders Federation (HBF), which says that any price drops are usually in line with house price movements in the area.

It comes in response to recent reports that some new builds have lost some of their value in recent months.

John Slaughter, HBF spokesman, said that it is wrong to assume that new builds are losing value across the country.

"It's really a question of what a local market situation for a particular type of product is, rather than something generic about new homes losing value," he commented.

"If there is a problem with prices it would be a reflection of that market supply and demand situation for that particular type of accommodation in that particular market, rather than a more general issue about new homes losing their value – that's not the general position, they're not losing their value like that across the country," added Mr Slaughter.

The government has announced plans to build three million new homes by 2020 with all new builds set to be carbon-neutral by 2016.

© Houseladder Ltd