The latest national English Housing Survey 2017/18 headline report has been published. This is the first release of data from the annual survey that will be published in detail later in the year.
The first annual survey took place in 2008-09 and replaced the English House Condition Survey and the Survey of English Housing. The survey covers a range of topics including energy efficiency, home tenure and household movement between tenure categories, housing costs and expectations, housing stock condition and variations in housing circumstances.
The percentage of the estimated 23.2 million households in owner occupation peaked in 2003 at 71%, after a steady increase over the preceding 13 years, but after a period of decline has remained stable at the current 64% since 2013/14.
However, there are more owner occupied households without a mortgage than with one and 7.8 million people now own their home outright. This is explained in part by the ageing ‘baby boomers’ who have reached retirement age and have finished paying for their home.
The number of mortgaged homes fell by two million in the six years to 2016/17, to 6.5 million. This not only reflects the ageing population but also the fall in younger people who are unable to get a mortgage .
35-44 year olds
The number of 35-44 year olds in owner occupied property has increased for the first time in ten years, to 57%. Prior to the financial crisis of 2008 this figure was 71%. In this age group, those households that have not entered owner occupation are most likely to have entered the private rented sector, which has increased from 13% to 28% over the last ten years. The number is social rented housing decreased from 19% to the current 16%.
Private rented sector
The number of households in the private rented sector increased from 2.8 million in 2007 to 4.5 million 2017, but hasn’t change substantially over the last five years.
There are 4.5 million private rental households (19%). This has increased since the financial crisis from a steady 10% since 2002.
Social rented sector
The proportion of households in the social rented sector has remained unchanged over the last ten years and there are 4 million social rented households (17%) but, while the numbers are static, the composition has altered. Ten years ago, 2 million households rented from housing association and 1.9 million from local authorities. Housing associations now house 2.4 million households while he number renting from local authorities has dropped to 1.6 million.
Fewer social renters (25%) now expect to be able to buy a property in the future, although private renters (58%) are more optimistic and hope to one day own their own home.
If you’re one of the optimistic home buyers, make sure a Chartered Surveyor takes a look at the property before you buy. A Chartered Surveyor will provide you with a survey report detailing the condition and structural elements of your new property and help you decide whether the property (and price you are paying for it) is right for you.