The UK will need more than 1m new rental homes by 2021, Savills has said.
The Government has a target to build 400,000 new affordable homes for sale over the course of this parliament – but Savills says that is ignoring the needs of private tenants.
The firm says that the number of households in private rented accommodation grew at a rate of 17,500 households per month in the ten years to 2014.
Savills says it expect the number to keep rising.
Susan Emmett, director of Savills residential research, said: “Demand for rented homes could still rise more sharply than we have forecast.”
Policies such as Help to Buy, Starter Homes and Shared Ownership may aim to increase the number of home owners, Savills acknowledged.
But Emmett– a former and well-regarded writer on the Times Bricks and Mortar supplement – said she queried their effectiveness.
Comments (2)
Perhaps the answer to this problem is direct negotiation with George Osborne…….. he apparently has some great ideas for sorting this problem out, or should I say, helping to cause it ?
Developers are now recognising that Help to Buy may be more trouble than its worth. Values are manipulated by constant down vals from the appointed surveyors resukting in much reduced LTV offers leaving developers with the choice to reduce the value of the whole development or dump the few units that are going Help to Buy.