Aside from the Waterfront Quarter in Ipswich there is very little in the wider area which is currently under construction as shown in Figure 3. There are a number of large sites in the planning pipeline, but there is capacity in the area for a larger volume of development sites to come forward. Smaller sites of up to 10 dwellings are more prevalent in the area, particularly in desirable coastal towns and villages, but these alone will not fill the gap between supply and demand that has built up due to the reduced number of transactions following the recession.

Source: Savills, HM Land Registry

Developments in Suffolk range from mainstream to prime, so we should consider both ends of the price spectrum when looking at price forecasts over the next few years.

Source: Savills, HM Land Registry
NB: These forecasts apply to average prices in the secondhand market. New build values may not move at the same rate

In the mainstream markets Savills forecast that in the five years to 2019 the East of England will experience the highest growth of all regions as the ripple effect spreads out from London. House price growth of 25.2% is expected, compared to a UK wide forecast of 19.3% over the same period. The current price differential between the capital and elsewhere in the country makes this the perfect time to look to the regional markets for new opportunities.

^{Source: Savills Research
NB: These forecasts apply to average prices in the secondhand market. New build values may not move at the same rate}

In the prime market of the wider South of England Savills forecast price growth of 22.2% over the next five years, reflecting the high level of growth already experienced by prime markets since the credit crunch. We expect the next phase of the cycle to be characterised by catch-up growth in the mainstream markets outside of London.