It has been revealed that local housing associations have been using the uncertainty over Brexit to purchase discounted homes from developers in order to increase their stock. Developers in the Essex and Suffolk area including developers such as Bloor Homes and Bellway have been offering discounts over the Christmas and New Year period on unsold properties and pre-sale homes, in order to secure the sales of the properties.
Housing associations are using these discounts to purchase property to convert into affordable housing including shared ownership, affordable and social rental properties. This was also the case back in 2008 when developers were offering even more significant discounts in order to drive sales.
One of the UK’s largest developers, Bovis Homes, has revealed that the number of private homes being sold to housing associations had increased during 2018 and is expected to increase further in 2019. Bovis attributes this increase to an ever improving relationship between themselves and local housing associations.
This is backed up by an increased drive for shared ownership properties to reduce the property crisis and affordability, particularly for first-time buyers. Housing associations are increasing in popularity for first-time buyers as it offers a buyer the chance to buy a percentage interest in a property, with the remainder being subject to rent payable by the purchaser to the housing association.
Attwells offers specialist expertise in acting for both Developers through its Property Development Department, its Conveyancing Team are experts in shared ownership and it has sector-specific know-how in the health and social care sector ideal for Housing Associations. For more information please call Nick Attwell on 01473 229200.