Editor's note: This brief was summarised by The Property AI Team from a report by Property Industry Eye. Read the original article for full details.
New-build Buyers Prefer Commuter Counties Over London, Research Finds
Demand for new-build homes in London is lagging behind that of surrounding commuter counties, according to new research by UK Property Development. The analysis found that a higher proportion of new-build properties are sold subject to contract in counties such as Essex, Hertfordshire, and Surrey compared to the capital.
The research revealed that only 8.8% of new-build properties in London are sold subject to contract as a proportion of total stock. In contrast, Essex leads with 27.6%, followed by Hertfordshire at 23.7%, Surrey at 21.2%, Kent at 18.3%, Buckinghamshire at 17.5%, and Berkshire at 17.4%.
Despite strong demand, new builds made up just 7.1% of all properties listed in Hertfordshire, which is equal to the proportion in London and represents the lowest share among the commuter-belt areas analysed.
Price trends also differ between London and its commuter counties. Hertfordshire recorded the strongest new-build price growth, with the average price rising 3.5% from £592,163 in March 2025 to £612,781 in March 2026. Kent saw a 2.5% increase and Essex a 2.1% rise over the same period. In contrast, the average new-build price in London fell by 1.5%, from £512,376 to £504,870. Berkshire also saw a slight decline of 0.4%.
For letting agents and inventory clerks, these findings highlight shifting demand patterns and price movements in the new-build sector, particularly in commuter counties around London. The data may inform decisions on stock management, marketing strategies, and service provision in areas experiencing higher demand and price growth.
Source: Property Industry Eye