Hometrack calls for more one-bed properties

11 June 2007
The first rung of the property ladder is missing for many would-be homebuyers in England and Wales, Hometrack has claimed, with one-bedroom properties make up just 3.1 per cent of homes on the market.

More than two-thirds of properties on offer are family homes with three or more bedrooms, making them unsuitable for young people looking to buy a modest first home.

"The lack of smaller sized homes, combined with strong demand from investors and first-time buyers, has led to a constant upward pressure on prices at the bottom end of the ladder," Richard Donnell, director of research at Hometrack, commented.

Future new-build projects should focus on providing smaller properties to cater for first-time buyers, Mr Donnell added, since "one bed new homes accounted for just ten per cent of new supply last year".

"The debate over increasing housing supply tends to be focused on the headline numbers with little emphasis on the types of housing that are needed," he noted.

Last week, the government's National Housing and Planning Advice Unit warned that first-time buyers could face average prices of up to ten times their income by 2026.

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