The UK housebuilding market will return to growth this year on the back of renewed business confidence and an easing in the mortgage lending market, according to a new report by MTW Research.
An extra 154,000 homes will be built, boosting annual sales to more than £25bn, rising to £29bn in 2011, the report said.
The survey identified growing optimism among housebuilders and added that timber frame, prefabrication and the use of modern methods of construction would be critical.
“Timber frame continues to gain popularity, accounting for around 17% of completions in 2010. This trend is likely to continue in the medium to longer term, with the sector reaching around 21% of all completions by 2014,” the report said.
The social housing market, which has underpinned the industry during the past two years with 20% of the business, will continue but is likely to focus on more traditional two-storey houses, enabling housebuilders to maintain tighter control of costs and cut build times.
