New data released by SmartNewHomes, the homes website, shows the average price of a new property in August was £277,445 up by 1.8 per cent over the last month.
The figures suggest the seasonal slowdown is drawing to a close and confidence is returning to the market. The price homebuyers are willing to pay has increased by 1.5 per cent over the last month, and 6.9 per cent over the year. This is the highest rate of annual growth demand since the end of 2003.
London is still in demand with homebuyers willing to pay 7 per cent above marker prices for a new property. But house prices in London, the south east and east Anglia all dropped by one per cent from the previous month.
SmartNewHomes chief executive David Bexon says: “As we expected, this month's index shows that the new homes market is not crashing into oblivion, but stabilising itself. With supply and demand prices more in line, both new homebuyers and developers should expect a healthy market going forward.”