A DETAILED INVESTIGATION INTO THE LOCAL HOUSING NEEDS OF HOTON Produced by The Leicestershire Rural Housing Enabler In conjunction with Hoton Parish Council March 2006 1 Contents Introduction Purpose of the Survey House Prices Survey Results Household Respondents Tenure of all Residents Property Types Period of Residence Desirability Ethnicity Percentage in Favour of Comments Housing Needs Analysis Conclusion 2 Introduction The Leicestershire Rural Housing Enabler works with Parish Councils and Local Authorities in order to investigate the needs for affordable homes in villages. The first step in this process is to undertake housing need survey which will give an overview of the current housing situation in a village, and provide detail of the need for local affordable homes. Hoton Parish Council has recognised that local people may have had to leave the village to find accommodation suitable for their needs. This has resulted from increasing house prices and a lack of affordable housing in the locality. During March of 2006, the Leicestershire Rural Housing Enabler and Hoton Parish Council worked together to deliver a Housing Needs Survey to every household in the village. Market Overton currently has a population of 348 (2001 Census) and 146 survey forms were produced for distribution throughout the parish. We are very grateful to George Smith for holding additional forms and freepost envelopes. 3 Purpose of the Survey The survey was conducted in order to obtain clear evidence of the housing need in the parish of Hoton. This evidence can then be used to inform Charnwood Borough Council and provide clarity on what type and tenure of housing is required to meet local needs. One option of meeting a village’s housing need is through the construction of a purpose built affordable housing development using the exception criteria set out in Planning Policy Guidance Note 3 (PPG3). However, to do this there must be accurate details housing need within the parish. The survey undertaken is an accurate and accepted method of achieving this. The information can be used positively in the planning process in that it provides a foundation on which to negotiate planning gain opportunities with developers. In short, it gives planners evidence which can be used to obtain an element of local needs housing in negotiations with house builders should such properties arise in the village. The information obtained from such a survey is also valuable at the local level, particularly in relation to the Parish Council’s activities. Such information can be acted upon locally and taken on board in the decision making process when housing issues arrive. If anything is to be done about the local needs of the village, support at local level is vital before anything can be done to address it. 4 House Prices The Government objective to deliver a better balance between housing demand and supply is not being met in rural England, there would seem to be an increasingly imbalance in supply and demand for rural housing, in particular within smaller rural settlements in both sparse and less sparse areas. As a consequence, affordability is a very real issue in many parts of rural England. In the most extreme case, the hamlets and isolated dwellings in the less sparse area, average house prices are around ten times the local average income. East Midlands Average Detached Average Semi Average Terrace Average Flat/Maisonette Average Price 2005 £ 222,241 129,196 107,016 112,833 149,466 2004 £ 197,144 113,679 92,713 103,998 132,862 2003 £ 174,346 95,365 76,244 46,008 112,712 Source Land Registry 2005 The table above provides details of the house prices over the last three years. The average price of a house has risen from £112,712 to £149,466, which is an increase of 25% over the last three years. For a family to be able to purchase an average terrace house they would need to be earning in the region of £26,000 per annum to secure a mortgage. These average prices are not representative of Hoton which are much higher. Few smaller properties are available in the area. 5 Survey Results The following sections of this report detail the responses from the questionnaires distributed and returned during March 2006 in Hoton parish. Respondents individual details have been kept confidential and any identifiable attributes have not been included in the results. Any comments that have been made may have also been edited so as not to identify individual circumstances. The following results are a snapshot in time and provide the parish and Charnwood Borough Council with an insight into the parish in terms of current housing need, the desirability of the village and the current level of facilities serving the local community. A total of 48 survey forms were received giving a return rate of about 33%. This is a good response when considering that only people who have a housing need or who are interested in commenting on local matters are asked to respond. 6 Household Respondents There was a real mix in terms of household sizes. As can be seen from the chart below, households with 2 adults gave the highest response rate accounting for 26%, followed by families with 1-2 children with 17%. Two pensioner households followed with 15% and the lowest response came from 2+ adults and 1 adult & 2 pensioner households who equally had 2% of the responses. Single Pensioner 2 Pensioners Single Adult 2 Adults 17% 4% 9% 2+ Adults 15% 2% 1 Adult & 1 Pensioner 2+ Adults & 1 Pensioner 1 Adult & 2+ Pensioners 7% 7% 11% 2% Families w ith 1-2 Children Not Given\Spoilt 26% The Countryside Agency Report “State of the Countryside 2005” found that the rural populations have distinctive characteristics relevant to the improvement of quality of life for individuals. It is also found that there are lower proportions of young people and higher proportions of older people. The results from this survey agree with that observation. The report also found that there are lower levels of couples within rural areas, both with and without children. The results from this survey appear to agree with that observation. 7 Tenure of all Respondents The current household tenure of all respondents is given in the table below. It is easy to see that owner/occupiers were by far the largest tenure group accounting for 90%, of which 42% had a mortgage. Tied Accommodation Private Renting 4% 4% 2% Ow n/occ No Mortgage Ow n/occ Mortgage 42% 48% Not Given/Spoilt The responses from the survey indicate an agreement with the findings of the State of the Countryside Report 2005, that was mentioned earlier concluding that the largest home occupiers were those who owned their property either outright, with a mortgage or through shared ownership. 8 Property Types The following chart details the types of properties in which respondents currently reside. From this chart we can conclude that there are a variety of properties within the village. It should be noted that, of those responding to the survey by providing an answer, the largest groups were occupants of 4 bed houses (37%) followed by 3 bed houses with 33%. 2 Bed House 3 Bed House 7% 4% 4% 4 Bed House 4% 4% 7% 33% 5 Bed House 2 Bed Bungalow 3 Bed Bungalow 4 Bed Bungalow 37% Not Given 9 Desirability The following two charts detail respondents’ answers to the desirability questions. The answers to these questions allow us to build up a picture of life within Hoton. From this we can gain an indication of whether any affordable housing that is subsequently provided in the village will be sustainable i.e. a place where people would want to live both now and in the future. 45 40 35 Yes 30 No Don't Know 25 Not Given 20 15 10 5 0 Good Reputation Nice Place to Live Balanced and Friendly Spirit Varied Pop From this first chart (above) we know that the vast majority of residents consider that Hoton has a good reputation, is a nice place to live with a friendly community atmosphere/spirit. 40 35 Yes 30 No 25 Don't Know 20 Not Given 15 10 5 0 Crim e Anti Social Lack of Adequate Hous ing Lack of Facilities The second chart (above) shows that respondents didn’t know if there is any crime and antisocial behaviour within the village. It has shown that a majority of the respondents didn’t know whether there is a lack of facilities within the village. 10 Migration The survey also asked whether respondents knew of people who had had to leave the village because of lack of suitable accommodation. This chart (below) shows that there does not appear to have been a high number of local people who have been forced to move out of the village in order to secure suitable housing. However, it should be remembered that this is only an indicative sample and that people who have moved away may not have divulged their reasons for doing so. 4% 6% Yes No Not Given 90% Ethnicity Respondents’ results showed that the majority of the demographic preferred not to say. This does support the recent Countryside Agency Report which found that rural settlements had lower levels of Black and Minority Ethnic (BME) residents than that of urban cores and that there were only 136,000 BME residents in rural areas throughout the country. 11 Percentage in Favour of Small Development 4% 21% 44% Yes No Don't Know Not Given 31% The chart above shows that 44% of respondents were in favour of a small development of affordable housing in Hoton. This could be expressed as 59% of those respondents that expressed a preference were in favour. Comments Below are some of the comments made by respondents about the village. The village needs a public house More mobile services as village is too small to support shops etc Affordable housing for youngsters and suitable housing for elderly The village needs a post office and a general shop Small properties are too expensive for even the average wage earner Smaller affordable houses to encourage younger community 12 Not enough affordable housing for first time buyers Housing Need Analysis Out of the 48 returns, 42 were from people who felt that they were adequately housed and would not be looking to move to alternative accommodation within the next 5 years. These respondents completed a form primarily to offer their support/objection towards a local needs housing development as well as give their comments regarding the desirability of Hoton. These were therefore discounted from the rest of the analysis. Accordingly, as far as the requirement for affordable housing is concerned, there are 6 returns detailing a housing need. However, some respondents would potentially have the resources to satisfy their own need and may need to be discounted from the final analysis. The following table lists the respondents who have expressed a housing need, the timescale in which they require housing, what type of housing they will require and finally an assessment of their need. Please note. REALITY TENURE refers to what the respondent could afford considering their declared savings and income. 1/2 Bed units are for single occupancy depending on the Local Authority lettings policies. 13 Single People RESPONDANT Single adult with 19 years residency, living away in private rented wishes to return to be near support network (1) Single adult with 19 years residency in private rented wants to return to be near support network (3) Single adult with 21 years residency, living with parents, seeks independence near support network (21) Single adult with 5 years residency seeks independent accommodation (39) WHAT REQUIRED 1/2 Bed Unit – Rented or Shared Ownership REALITY TENURE 1/2 Bed Unit – Rented 1/2 Bed Unit – Rented or Shared Ownership 1/2 Bed unit – Rented 2 Bed House – Rented or Shared Ownership 1/2 Bed unit – Rented 2 Bed House – Rented or Shared Ownership 1/2 Bed unit – Rented RESPONDANT Couple with 21 years residency living with parents seeks independence (11) WHAT REQUIRED 2 Bed House – Rented or Shared Ownership REALITY TENURE 1/2 Bed Unit – Rented Couple with 15 years residency seek to be nearer work and aged relatives (48) 2 Bed House – Shared Ownership 2 Bed House– Shared Ownership Couples 14 Conclusion The Leicestershire Rural Housing Enabler, in partnership with Hoton Parish Council has conducted a detailed study of the housing need of the village. This study has not only investigated the actual housing need of Hoton but has also ascertained residents’ views with regard to living in the village, as well as identifying local support for a development to meet local needs. Although there may be a small need for affordable housing in the next 3-5 years, we have concentrated on the requirement for housing in the immediate future and the next 1-3 years. In this respect, there is a need for both rented and shared ownership homes. It should be noted that single bedroom accommodation is not recommended as this is not thought to be sustainable. This would be defined in a Section 106 Agreement. The exact need is emerging as follows; RENT 5 x 1/2 Bed Unit SHARED OWNERSHIP 1 x 2 Bed House However, as with any other detailed survey; we would apply the standard discounting factor used by the Countryside Agency in 15 their survey reports. This is to take into account that, during the time it would take to develop a scheme, some respondents will have to satisfy their own housing needs. Also the developing Housing Association would not build speculatively. For this reason we would normally apply a 25% discount to the rented requirement and a 40% discount for shared ownership. Low numbers of shared ownership properties are not usually discounted. The suggested housing mix, on this basis, would be:RENT 4 x 1/2 Bed Units SHARED OWNERSHIP 1 x 2 Bed House The recommendation is that single mixed development of up to 5 affordable dwellings should be considered, as detailed above. This development will alleviate the current housing need for those who cannot afford to secure a suitable property in Hoton, but who wishes to stay in or return to the village. The findings from this survey found that 44% of respondents were in favour of a development of affordable housing in Hoton as long as it was for local people with a strong connection. This report has identified that there is a need for affordable housing for existing residents. 16 Contacts The Leicestershire & Rutland Rural Housing Enabler Richard Windley Unit 19 Whitwick Business Centre Stenson Road Coalville Leics LE67 4JP Tel: 01530 276546 Richard.windley@midlandsrh.org.uk Hoton Parish Council Clerk George Smith 11, Vinetree Terrace Hotoh Loughborough LE12 5SL Tel: 01509 880742 geos@vinetree.wanadoo.co.uk 17