Summary

■ First time buyers: Buoyed by Help to Buy and a recovering mortgage market, the number of younger buyers of new build property increased strongly last year, with those under 40 making up 49% of all buyers according to Savills dealbook data.

■ Smart investment: Cardiff’s universities are a key driver of activity, with parents buying property for their student children. Good yields and strong demand for rental property around the university sites mean that these are often kept as investments following graduation.

■ Cardiff leading the way: House prices in Cardiff have recovered more strongly than the Wales average, at -4% below peak (Land Registry, March 2015) more in line with the South West of England. The average sale price of new build property in Cardiff in 2014 has been around £240k, more than 20% above the Wales average.

■ Newport regeneration boost: Newport also attracts a mix of younger buyers and downsizers. Although it has underperformed Cardiff since the downturn, regeneration of the city centre is progressing and has attracted £250m of new investment into the area.

■ Downsizer demand: Downsizers are still a key source of demand in the Cardiff apartment market, particularly in prime locations such as Pontcanna.