28 November 2008
By Neil Merrick Almost 10,000 homes built mainly for first-time buyers are standing empty because housing associations cannot sell them, a survey reveals. The Housing Corporation’s latest quarterly survey shows that 9,955 low-cost home ownership properties remained unsold at the end of October. Of these, 3,814 had been on the market for six months or longer. In spite of incentives offered by associations, including renting at below-market prices until the market picks up, the corporation expects the picture to get bleaker. A further 1,000 homes that are already under construction will come on the market every month until next March as part of shared ownership schemes. ‘This, coupled with further expected falls in the housing market, would suggest the number of void properties has not yet reached its peak,’ says a report published on November 25. The downturn in the housing market is hitting the surpluses of registered social landlords. The 216 RSLs surveyed hope to raise more than £1.2bn in asset sales during the next 12 months, but might end up with less than they anticipate.
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