The Royal Institution of Chartered Surveyors’ recent figures suggest that the UK faces a shortfall of 1.8 million rental properties and has suggested that Theresa May needs to “get out the hard hat”
This is a worrying trend as “86% of landlords say they have no plans to increase rental portfolios this year” which has led calls for Theresa May to abandon her party’s focus on home ownership, established under her predecessor David Cameron.
The RICS has called for the Government to support larger scale build-to-rent schemes, with investment from large pension and insurance firms, rather than encouraging individual landlords. They have also suggested the reversal of April’s Stamp duty changes to address the short term supply issues.
The Government is determined to make sure they are still seen as the party of house building, with a new Home Building Fund to help drive 25,000 more homes in the short term and 200,000 longer term. This will enable buyers to buy a plot of land from small or medium sized builders or build a home they have designed.
It makes sense to see landlords as a solution to the housing crisis, rather than a cause of the problem, which is often how they are portrayed.
Encouraging landlords to build rather than buy an existing home to rent can only be see as a good thing.
The Residential Landlords Association estimate that private landlords added “60% of all new housing units between 1986 and 2012” Landlords also often take on stock in poor condition or in unpopular areas, and restore them into attractive homes, particularly in town centres where large properties are converted into desirable smaller units.
Encouraging landlords to create new homes could go a long way to helping solve the nation’s current housing crisis.
If you are interested in building or converting a new property, get in touch with our lettings or planning team and we will be delighted to assist you. Contact Kate Fisher on 01788 564743