Housebuilding 'in decline'

The level of housebuilding has declined significantly due to current market conditions, builder Barratt Homes has said.

As it revealed a significant fall in revenues, the company said the situation was the result of "an unprecedented reduction in mortgage availability and tightening lending criteria, combined with a decline in consumer confidence".

It said the average number of reservations in the last six weeks was 206, half of last year's level.

While such a trend may reflect lower demand, the situation means that those looking for a new home may have less to choose from.

In order to overcome a lack of supply, those looking to get on the housing ladder may consider the alternative of self build.

General market confidence is lower according to the latest HotProperty agents confidence index.

This has shown that only 42 per cent are more confident about the market now than they were in March.


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