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Posts Tagged ‘affordable housing’

Snowdonia may lose more young people who are struggling to buy a home

Monday, September 12th, 2011

A new report has shown that poorly paid locals in Snowdonia are being frozen out of the housing market due to the lack of affordable housing. This is now the number one concern for all communities in the national park of North Wales.

The park authority chairman claims the serious problem is made worse by second-home ownership which is pushing up the prices. At a Snowdonia National Park Authority meeting held earlier this week committee members were presented with research which showed low incomes and limited opportunities for higher paid work were forcing the majority of young locals into leaving the area. They are being replaced by older retirees. The population in the national park increases by about one-hundred each year as older people settling there outnumber those leaving.

There are 900 new homes planned for the park over the next eleven years and around half of these will be affordable homes targeted at locals to try and help people raised in the community to buy a new home and protect their belongings with household insurance. But other estimates feel this will not be enough to solve the long term problem. By 2023 it is thought that 30% of Snowdonia’s population will be 65 and over. Average property prices are at £142,000 and with average wages at around £18,000 a year, even a generous mortgage deal would leave local buyers well short.

Caerwyn Roberts, chairman of the park authority and Plaid Cymru councillor, said “The disparity between income levels and property prices means the young people who leave have little hope of returning. The problem is exacerbated by second-home ownership driving up prices; many properties in Harlech for example lie empty because their owners spend only a few weeks of the year in them. It’s a contributing factor. We need to retain the area’s cultural heritage, but we also need to try to improve the economic viability of the area to get good, well-paid jobs.”

Tags: affordable housing, household insurance, housing market, Snowdonia
Posted in home insurance | No Comments »

Risks of buying a property on a Brownfield site

Wednesday, May 11th, 2011

A warning has been issued to both first time buyers and others seeking to buy an affordable home which is built on a Brownfield site. Research reveals buyers need to be aware of hidden risks which can make the property uninsurable and unlikely to sell.

The warning emanates from an insurance firm who carried out the research, which says that one in ten properties built on former industrial land has already suffered some serious problems. Coalition government polices says that one out of every eight new properties has to be built on a Brownfield site or on land which previously had another building on it. The research shows that the most common problem to blight these properties is flooding, but there are also a number of cases of toxic contamination, extremely poor drainage and sewage overflowing back into the property.

John O’Roarke, managing director of the research firm, said “About 74,000 new build homes have been adversely affected by the land they were built on in the past 10 years. But because of the lack of affordable housing and the need to protect greenbelt land, over the next decade another 500,000 homes will be built on redeveloped ex-industrial sites that could pose risks to homeowners and their properties.”

Flooding is by far the biggest financial risk for a buyer of a new property because this type of claim is excluded from the NHBC (National House-Building Council) 10 year warranty, which covers almost all newly built properties. The warranty does not provide cover for flooding because typically this will not be caused as a result of an issue with the construction. The NHBC believe this is a matter for government policy and local planning authorities. Properties which already have flood insurance cover should always be able to renew the policy which is just as vital as household insurance. However, anyone looking for first time insurance may struggle to find affordable premiums in some areas.

Tags: affordable housing, brownfield site, first time buyers, flood insurance, home insurance, new builds
Posted in Homeowners, home insurance | No Comments »

Cheltenham’s poorest area gets the green light for affordable housing

Monday, April 18th, 2011

Councillors have backed a scheme which will see new affordable housing built in one of Cheltenham’s poorest areas. Social housing association, Bromford, feel that there is a desperate shortage of affordable homes in Whaddon and that their development will help fulfil the need.

According to the Office of National Statistics the area has both the lowest income level and the highest unemployment level among young people in the county. In February this year the local council admitted that there was a shortage of housing in the town, with over 4000 people on the waiting list for a property. When plans for sixteen flats to be built were approved, the planning committee decided to impose a condition that the site should be used for “supported housing” only.

This meant that only local residents who had special needs would be able to live in and take out household insurance on the properties. The developer said this condition left the housing provider Bromford unable to deliver the properties, because despite being committed to providing affordable housing, funding from the HCA (Homes and Communities Agency) may not be available for any supported accommodation scheme. Since the developer announced they could not deliver the properties, almost all of the councillors have voted in favour of withdrawing the condition in the hope that the project can still go ahead in some guise.

Bromford’s project manager, Annette Thompson, said “In terms of tenure we have designed the scheme with supported housing in mind, but with the potential to convert it into affordable rent should the revenue funding for supported use not be initially available or disappear in future years. If this scheme were to proceed, a percentage of the units would be advertised as not having provision for parking.”

Tags: affordable housing, Cheltenham, home insurance
Posted in Advice for tennants, home insurance | No Comments »

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