How Can More Affordable Property be Created Within the UK?
When it comes to the UK housing sector, the outlook is getting even more positive as 2018 marches on. Recent figures released for July 2018 show that the national average house price has risen for the second month in a row and low mortgage rates continue to help the sector grow. One area that still provokes debate though is that of affordable housing within the country.
Why is affordable housing so vital?
Affordable housing is broadly defined as social rental properties that are provided to residents through their local council or housing association. As such, they are essential in giving people on lower incomes a step onto the property ladder. Although the UK Government has announced plans to invest a further £9bn recently to help with building affordable homes nationwide, there is still a shortage around the country.
How can extra affordable housing be created in Britain?
This shortage of affordable housing has seen the UK Government and others look for answers to the issue. The below are ways that affordable housing could be created where needed:
- Further government investment – one way that more affordable housing could be built is further central funding from the UK Government. Although it has recently invested more money into this, as above, a further influx of funding could build even more properties.
- More locations – when it comes to this kind of housing, there is a real need for it all over the country. This is true for property in Henley itself, as can be seen in the recent plans in the Woodcote area for a new housing development with affordable homes catered for within it. Henley residents have long been calling for more affordable housing, and this is true in many other locations in the UK that have not seen any recently.
- Investment from private development companies – one of the best ways that more affordable housing in the UK could be built is through private developments, rather than council or social housing. This kind of activity can be witnessed in areas such as Tower Hamlets in London, where IPE Developments is building many new units in this vein. The firm, backed by property expert Mohammed Adnan Imam, is a great example of a private developer that can help in this way. Once private affordable housing is built, it can then be rented out to private citizens at a rate that they can actually afford.
- Get Housing Associations more involved – some people are also calling for Housing Associations to become more involved with actually building and renting out social affordable housing. Many believe that they are perfectly placed to not only manage the housing stock that they would create but also offer it at an affordable level.
Affordable housing is a real must
For many people across the UK, including Henley, affordable housing is an important issue. With the current levels being behind where they should be, it seems that the UK Government will need to act again soon to help redress the balance. Whether any of the above solutions will come into play remains to be seen, but it will certainly be interesting to see what happens.