New-Build Homes Remain Largely Unsold Near Benllech
In a village close to the popular seaside town of Benllech, a development of new-build homes remains mostly unoccupied. Of the 16 properties at Parc Delfryn in Brynteg, only two have been purchased since construction was completed more than two years ago.
Planning restrictions imposed prior to construction currently limit the use of these homes to holiday accommodation only. A planning report suggests that recent Welsh government tax changes on second homes have contributed to the low sales figures.
An application has been submitted to Anglesey Council seeking permission to allow these properties to be used as full-time residential homes.
Impact of Second Home Regulations on Sales
According to planning documents, two separate estate agencies have attempted to market the "high specification" three-bedroom semi-detached homes to holidaymakers since the development was completed at the end of 2023. These homes represent the second phase of a housing scheme, following an initial phase of 20 holiday homes that sold quickly.
Simon Barrie James of PLanD development consultants, in a planning statement, noted that the first 20 homes were sold prior to the introduction of tax changes that have significantly affected the local property market. The 14 unsold homes have been impacted by increased transaction taxes on second homes and holiday rentals, higher council tax rates for second homes, and a shift in public perception regarding holiday homes and their effects on the community.
The documents reveal that the asking price for these houses has been reduced more than six times over two and a half years of marketing, with a price of £250,000 set in summer 2025.
At least 37 families local to Anglesey have expressed interest in purchasing the properties as full-time family residences.
Welsh Government Tax Changes on Second Homes
In 2022, it was announced that some second home owners in Wales could face council tax rates up to four times higher from 2023, as part of efforts to improve housing affordability for local residents. Currently, second home owners on Anglesey pay 200% council tax unless the property is rented out for at least 182 days per year.
As of late 2023, approximately 10% of Anglesey's housing stock was classified as second or holiday homes, a proportion higher than in other parts of Wales and the UK.
In June 2023, the BBC reported that Anglesey had experienced the largest increase in holiday home ownership in England and Wales over the past decade.
Market Challenges Due to Occupancy Restrictions
The planning report states:
"There are therefore 14, fully completed, modern family homes ready to be occupied, but which, because of the particular occupancy restriction imposed, are unattractive in the market for the consented, restricted use, even though the price has been reduced quite substantially over time."
It further notes that at least 37 families, mostly local to Anglesey, have inquired about purchasing the properties as full-time homes within the "tight-knit community," which features its own community hall, pub, and golf course.
The report's author indicated that the development owner would be willing to accept a restriction limiting sales to buyers from Anglesey or those with a specific connection to the island.
Additionally, the report highlights the potential impact of a planned nuclear power station on Anglesey, expected to create up to 3,000 jobs, which could significantly affect the local housing market.
"This will likely lead to an extensive and extended imbalance between housing and employment opportunities which will, if not addressed, increase the need for long distance commuting rather than reducing travel distances," the report states.
Similar Challenges in Local Developments
Estate agents Beresford Adam and Dafydd Hardy have noted that Parc Delfryn is not unique in facing difficulties selling homes restricted to second home use in the area.
In a marketing report submitted to council planners, the company stated that this issue has been observed across all "second home new developments," adding:
"All of these sites have attracted very little interest and have completed units, lying empty, with very little, if any interest at all."
Current Status of Planning Application
A spokesperson for Anglesey Council confirmed that the latest decision date for the application was 24 July and that the local planning authority is currently considering it.
A Welsh government spokesperson declined to comment on the matter.
