{"id":28989,"date":"2025-03-25T10:42:54","date_gmt":"2025-03-25T10:42:54","guid":{"rendered":"https:\/\/new.contentdeployment.co.uk\/tomd\/2025\/03\/25\/residential-property-review-march-2025\/"},"modified":"2025-03-25T14:24:02","modified_gmt":"2025-03-25T14:24:02","slug":"residential-property-review-march-2025","status":"publish","type":"post","link":"https:\/\/new.contentdeployment.co.uk\/tomd\/2025\/03\/25\/residential-property-review-march-2025\/","title":{"rendered":"Residential Property Review \u2013 March 2025"},"content":{"rendered":"
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Housebuilding falls to seven-year low as planning delays persist<\/strong> 
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Housebuilding in England has dropped to its lowest level since 2017, excluding the pandemic period, with just 217,911 new homes completed in 2024.  
 
This marks a 6% decline from 2023\u2019s total of 231,000 and continues a four-quarter trend of falling completions, according to Energy Performance Certificate (EPC) data. Completions have slowed across all tenures and builder sizes, though affordable housing has remained relatively stable. Planning delays remain a major obstacle, with 88% of developers citing them as a constraint, according to the Home Builders Federation (HBF). <\/p>\n<\/div>\n\n

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Beyond delays, the number of homes gaining planning consent remains low. Around 245,000 homes were approved in 2024, in line with 2023, but well below the 370,000 needed annually. While permissions outpaced completions by 12%, the supply gap continues to widen, restricting growth.  <\/p>\n<\/div>\n\n

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Edinburgh retains top spot for residential investment<\/strong> 
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Edinburgh has kept its position as the UK\u2019s top city for residential investment, according to Colliers\u2019 analysis. <\/strong> <\/p>\n<\/div>\n\n

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The top four cities \u2013 Edinburgh, Glasgow, Manchester and London \u2013 were unchanged, while Reading climbed six places to fifth, driven by strong start-up growth and a projected 2.5% annual gross domestic product (GDP) increase. Reading also leads in leisure facilities, making it an attractive investment location. <\/p>\n<\/div>\n\n

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Andrew White, Colliers\u2019 Head of Residential, said, \u201cAfter a number of years of turbulence and macroeconomic challenges, it\u2019s interesting for investors to observe that there\u2019s been a period of stability in the UK housing market, with locations that have been sure investments in recent times remaining at the top. The Scottish cities are continuing to top our ranking, most likely due to the affordability and strong economic qualities of the region, as well as the quality-of-life indicators we consider.\u201d<\/em> <\/p>\n<\/div>\n\n

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Rental growth slows to lowest level in over three years<\/strong> <\/p>\n<\/div>\n\n

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The pace of rental growth in the UK has slowed to its lowest level in three-and-a-half years, according to Zoopla.<\/strong> <\/p>\n<\/div>\n\n

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The average rent for a new let reached \u00a31,284 per month, up 3% from last year, but affordability pressures are keeping increases in check. Zoopla found that while rental market conditions have improved after three years of demand exceeding supply, the shortage of rental homes continues to drive up prices. Rental demand has eased throughout the UK over the past year, with supply increasing everywhere except the West Midlands. <\/p>\n<\/div>\n\n

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Richard Donnell, Executive Director at Zoopla, said, \u201cAffordability remains the primary constraint on rental inflation, rather than increased supply and greater choice of homes for rent. We expect rents to increase by 3-4% over 2025 as slower growth in large cities is offset by faster growth in more affordable markets.\u201d\u202f<\/em> <\/p>\n<\/div>\n\n

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Nearly 74,000 home movers in England set to miss Stamp Duty deadline<\/strong> <\/p>\n<\/div>\n\n

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Thousands of first-time buyers (FTBs) are set to miss out on the current Stamp Duty savings, with Rightmove estimating more than 25,000 property purchases will complete in April rather than before the 31 March deadline.<\/strong> <\/p>\n<\/div>\n\n

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From 1 April, the threshold at which FTBs start paying Stamp Duty in England and Northern Ireland will drop from \u00a3425,000 to \u00a3300,000, while for other buyers, the tax-free band will shrink from \u00a3250,000 to \u00a3125,000. Rightmove\u2019s analysis, based on properties sold subject to contract and typical transaction timelines, suggests FTBs completing in April rather than March could collectively pay an extra \u00a334m in Stamp Duty. <\/p>\n<\/div>\n\n

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Rightmove also estimates nearly 74,000 home movers in England will just miss the deadline, leading to an additional \u00a3142m in Stamp Duty payments. The south east has been identified as the region most affected by the changes. <\/p>\n<\/div>\n\n

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It is important to take professional advice before making any decision relating to your personal finances. Information within this document is based on our current understanding and can be subject to change without notice and the accuracy and completeness of the information cannot be guaranteed. It does not provide individual tailored investment advice and is for guidance only. Some rules may vary in different parts of the UK. We cannot assume legal liability for any errors or omissions it might contain. Levels and bases of, and reliefs from, taxation are those currently applying or proposed and are subject to change; their value depends on the individual circumstances of the investor. No part of this document may be reproduced in any manner without prior permission.<\/em><\/strong> <\/p>\n<\/div>\n\n

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All details are correct at the time of writing (19 March 2025)<\/strong> <\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"

Housebuilding falls to seven-year low as planning delays persist   Housebuilding in England has dropped to its lowest level since 2017, excluding the pandemic period, with just 217,911 new homes completed in 2024.   This marks a 6% decline from 2023\u2019s total of 231,000 and continues a four-quarter trend of falling completions, according to Energy Performance Certificate […]<\/p>\n","protected":false},"author":12,"featured_media":29019,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[32,37],"tags":[],"hd_content_source":[116],"_links":{"self":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts\/28989"}],"collection":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/users\/12"}],"replies":[{"embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/comments?post=28989"}],"version-history":[{"count":2,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts\/28989\/revisions"}],"predecessor-version":[{"id":29040,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts\/28989\/revisions\/29040"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/media\/29019"}],"wp:attachment":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/media?parent=28989"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/categories?post=28989"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/tags?post=28989"},{"taxonomy":"hd_content_source","embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/hd_content_source?post=28989"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}