Where are the best places to buy a house in the UK?

 

Most new-build homes come with a range of perks, from brand new fittings and a new home warranty to better energy efficiency for cheaper bills.

Plus, with government schemes to assist first-time buyers, new builds offer an easier route into the UK property market for people looking for their first house.

While you may not have to worry about the cost of renovations for a new build property, property values can be higher depending on the location.

So, where are the best places to invest your future in the UK to buy a new home if you’re trying to get on the property ladder? Let’s look at some of the cheapest places to buy a house in the UK, and the most expensive property investments.

What are UK homebuyers looking for?

Most people looking for a new home would prefer somewhere that requires little work before they can move in, perhaps with some level of customisability in the fittings. New builds offer this, but it can be a long wait between reserving the property and completing construction.

What makes the potential wait worthwhile is the range of other benefits that also come with most new-build developments in the UK. Affordability, accessibility, and local employment rates are some of the biggest factors influencing the decision to purchase a new-build house.

According to recent data from Halifax in February/March 2025, the desire among people to move out of rental properties to purchase their first homes and join the UK property market is high. Throughout 2024, there were 19% more first-time buyers in the UK compared to 2023, indicating a strong growth despite difficult economic challenges.

First-time buyers made up 54% of all mortgaged property purchases in 2024.

However, a Barclays report in January 2025 found that just 22% of those currently in the rental market believed home ownership was only realistically possible within the next five years. This could be impacted by the increased cost of living due to energy bills and food shopping increases, as well as the average property price continuing to climb in the UK.

Given the increase in mortgage rates, many hopeful homeowners likely do not see affordable property markets available to them currently. For lots of people, there are not as many affordable house prices on the UK property market, especially for young professionals seeking homes near a major city centre.

Sustainable properties

Sustainability is hugely important in homebuyers’ decision-making.

With the rising cost of energy bills, many homebuyers are keen to purchase a property with an excellent Energy Performance Certificate (EPC) rating. To obtain this, energy-efficient heating and lighting are a main priority, as well as living nearby to green spaces.

They also expect friendly options for energy, recycling and waste disposal.

It seems that the contemporary homebuyer wants a new buildhouse up to the latest environmental codes, with parks or community gardens nearby.

So, where can you find this for an affordable price in the UK?

New builds in North England

Perhaps unsurprisingly, considering the south’s reputation for being an expensive place to live, the cheapest places to buy new houses in the UK are often found in the north of England.

According to data collected by Zoopla in 2024, there are 30 local authorities in the UK where it is cheaper to buy a 3-bed new-build instead of a 3-bed resale property.

Here’s a quick breakdown of the best locations for the average property price of a new-build:

• Winchester offers the best value, with the average three-bed new-build home costing 22% (£118,500) less than resale properties of the same size.
• In Coventry, in the Midlands, a 3-bed new-build property costs £36,500 (15%) less than older properties.
• In Redcar and Cleveland, in Yorkshire, a new-build home is 10% cheaper than older properties.

Property investment companies identify northern English towns, like Leeds and Liverpool, as the top places to buy a house in the UK, both for affordability and returns. For rental properties, these areas offer excellent rental yield and fantastic capital growth. Architects in Manchester have also received an increased level of interest.

New builds in the Midlands

As the middle ground in the drama of the north/south divide, the Midlands are often overlooked – but they offer some of the best options for new property purchases in England.

As previously mentioned, Coventry offers excellent value for money for property buyers and property investors.

Coventry isn’t the only place in the Midlands that offers homebuyers excellent savings compared to older properties, though.

According to Zoopla, East Lindsey and Derbyshire Dales offer big discounts, with new-build homes around 8-10% cheaper than their resale counterparts.

Birmingham and Nottingham are some of the top places to invest in the UK, with high growth potential. Birmingham, in particular, is seen as a more affordable city compared to London whilst offering the ‘big city’ lifestyle.

New builds in South England

As costly as it can be to live in the London area, you might be surprised to know that there are some relatively affordable places to buy new homes in the south of England.

Zoopla’s research discovered that many areas in the south of England offer huge reductions on new-build properties compared to resale properties.

Of the top 10 locations with the best value new-build homes, southern areas of England accounted for seven.

The biggest price differences in the south of England are:

1. Winchester – £118,500 (22%) price difference from new builds to resales (highest in the UK)
2. New Forest – £45,000 (9%)
3. Chichester – £35,000 (8%)
4. South Hams – £25,000 (7%)
5. Canterbury – £25,000 (6%)
6. Worthing – £25,000 (6%)
7. South Oxfordshire – £25,000 (5%)

New builds in Scotland

If you’re thinking about moving to Scotland instead, you wouldn’t be alone. The higher standard of living for less money draws many homebuyers, but are the national average house prices in Scotland that competitive?

In Scotland, one place stands out for the best value properties: Perth and Kinross.

This wonderful region of Scotland is home to fabulous landscapes and boasts a rich history. A 3-bed new build home costs an average of £225,000, which is £15,000 less than the average property price for a resale property.

In Q4 2024, the average house price in Scotland was £195,000. As of Q1 2025, the average house price in England is £291,000 – a notable difference if you’re looking for some value.

New builds in Wales

If the Midlands and Scotland are often overlooked in the affordable property search of the UK, Wales definitely is, despite its abundant greenery. This may be because Wales experienced record house price increases in 2022, but that doesn’t mean there aren’t affordable new properties available.

According to government statistics, the average property price in Wales is £214,000, which is more than Scotland but considerably less than England.

In terms of new builds in Wales, they are more expensive than resale properties, but not by a large margin. In Pembrokeshire, for example, the average 3-bed new build costs £287,500 – 5% more than a resale counterpart.

Monmouthshire averages £322,000 for a new-build home, which is, again, just 5% more than an older property of a similar size. This district, in particular, is growing in popularity as it’s halfway between Cardiff and Bristol and is near some beauty spots in the Welsh countryside.

So, while new-build prices tend to sit slightly higher than resale properties in Wales, the small difference is an attractive option for homeowners looking for something with minimal work needed.

Is now a good time to buy a new build?

There are plenty of headlines about soaring house prices as mortgage rates continue to climb, so you might be wondering if buying a new house right now is the best idea.

House prices in the UK have increased by 37% over the last decade, and it’s expected to climb even more. Despite this, it can still be an interesting time to purchase property in the UK, especially over the next couple of years.

The Labour UK government is determined to improve the number of houses built in a bid to solve the ongoing housing crisis. We recently wrote about optimism among housebuilders as new home registrations have increased.

This means you may not be too far away from purchasing your dream home.

There are no guarantees, which means that if you find a new build in your preferred location and price range, it’s better to snap it up while you can. The best times of year to go house-hunting are spring and autumn, as people tend to be busy around the summer holidays and Christmas.

Whichever property you decide to buy, and wherever it may be in the UK, just be sure to check that it comes with a comprehensive building warranty. Or, if you’re a builder or a buyer and there isn’t a structural warranty in place yet, you can contact Architects Certificate to set one up today.

Call 0161 928 8804 to speak to our experts.