Demand for new homes down 50% as property market continues to cool

Zoopla’s latest house price index revealed quarterly house price growth has slowed and is likely to turn negative in the first quarter of 2023.

Newly-built houses
Quarterly house-price growth has slowed rapidly and is forecast to move negative in the first quarter of 2021
(Image credit: © Alamy)

Demand for new homes is down 50% over the last year, says Zoopla, as activity returns to pre-pandemic levels following two years of sustained growth.

Zoopla’s house price index showed prices increased 7.2%, or £17,500, year-on-year, but quarterly growth has slowed rapidly and is set to move negative in the first quarter of 2023. Zoopla expects its house price index to register quarterly price falls over the first half of 2023.

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Nic studied for a BA in journalism at Cardiff University, and has an MA in magazine journalism from City University. She has previously worked for MoneyWeek.