English Rural Housing Association

working with

 Winscombe and Sandford Parish Council

with support from

 

 

VILLAGE HOUSING SURVEY 2008

 

Introduction and Background

 

During February 2008, Winscombe and Sandford Parish Council worked with English Rural Housing Association to carry out a housing survey for the Parish.  The survey will help the parish council identify the housing needs of the community, with a view to working with English Rural Housing Association and other housing providers and considering solutions for meeting any such housing need. In particular, the Parish Council wish to establish whether there is a need from local people who cannot afford to buy or rent a home in the village but who need or want to stay in the community.

 

English Rural Housing Association is a specialist rural affordable housing provider that was set up to develop and manage affordable homes in villages for local people.  The Association is a charitable housing association registered with the Housing Corporation.

 

The village housing survey uses a comparison between income and local housing prices to identify the need for affordable homes. It does not expect people to categorise their housing need nor does it ask about preferred tenures.  It also identifies households who have moved away from the village due to a lack of affordable housing and who would like to move back into the parish. 

 

Setting the scene:  Housing need in North Somerset

 

During 2005, North Somerset Council joined forces with its neighbouring local authorities to commission a housing market assessment, known as the West of England Housing Needs Affordability Model (WoE HMAN), for the former Avon area in order to find out the housing needs of the region.

 

The assessment used income data, house price data and population projections to establish how many households in the region could afford to resolve their own housing needs and how many needed some form of affordable housing.  The WoE HMAN looked at the West of England sub-region (the former Avon area), each local authority area and sub areas within each authority.

 

The WoE HMAN indicates that there is an annual need for 965 new affordable homes in North Somerset, approximately 75% for social rent and 25% for shared ownership and other forms of low cost home ownership.  New households unable to buy on the open market dominate the picture of housing need, with over 42% of new households unable to buy a home on the open market. 

 

The WoE HMAN also looked at 4 sub areas within North Somerset, based on the four main towns and their rural surrounds.  Winscombe and Sandford parish was grouped with Hutton, Locking and Banwell as the rural hinterland of Weston- Super-Mare.  The assessment found that 54% of new households in the sub-area can’t afford to buy a home on the open market, higher than the District average figure of 42% of new households.

Annual Affordable Housing Need                                               Rented Need                                               Low cost home ownership                                             1 bed       2 bed       3 bed+    total                        1bed        2bed        3bed+     total North Somerset                    253          270          266          789                          102          119          57            278 Weston & sub-area             151          62            111          324                          40            44            24            108   Source:  West of England Housing Needs & Affordability Model 2005

 

 

 

 

 

 

 

 

 

 

Setting the scene:  Winscombe and Sandford Parish

 

The parish is made up of the villages of Winscombe and Sandford and the hamlets of Barton, Oakridge and Sidcot.  It covers around 6 square miles of rural North Somerset and shares a boundary with neighbouring Sedgemoor DC.

 

The parish is made up of 4500 people living in 1922 households, with 649 pensioner households, 179 families with grown-up children and 448 families with dependant children.(ONS data)

 

 

Owner occupation is the dominant tenure with 891 householders owning their property outright and 713 with a mortgage, 110 households rent a home privately in the parish. (ONS data)

 

Winscombe is one of the District’s largest and most sustainable villages, with many shops, services, sports and social clubs, good local employment, a thriving community center and village school.  The hamlet of Sandford is the second largest settlement in the parish, with its own primary school, village shop and major employers in Thatchers Cider and Avoncrop.

Road links are good to Bristol and the South West with the A38 bordering Winscombe village.

 

Response to the survey

 

The village housing survey was carried out as part of initial work by the Parish Council on the development of a Parish Plan.  In early February 2008, volunteers delivered a housing survey form and Parish Plan leaflet to every home in the Parish and returned a week later to collect completed forms.  Survey forms were also distributed through the two primary schools and a village consultation event was held on 6^th February to promote the survey, the parish plan development and answer questions on the development of affordable housing.

 

623 households responded to the housing survey, giving a response rate of 32.5% which is considered excellent for this type of village survey and provides a good level of data to show an accurate picture of the housing needs of the community.

 

1: Headline Findings from the survey:

 

Please note: because people do not always answer all the questions on a survey, figures rarely tally to the overall response.  This does not detract from the overall picture the survey gives of housing need.

 

 

1.1  Are you likely to move home in the next 5 years?               Yes                  186              No                   420             No answer       17

This shows us that a majority of respondents do not expect to move, but a significant number of households are looking to move homes by 2013.

 

 

 

 

 

 

 

 

 

 

 

 

 

There is a significant demand for homes by single people and couples.  This could be reflecting the formation of new households in the parish and echoes the district-wide need for smaller homes.

 

 

1.3 Total Household incomes (before tax) of those likely to move in the next 5 years               Under £16,000                         59                    £35,000 - £45,000                   19             £16,000 - £20,000                   33                    more than £45,000                   13             £20,000 - £25,000                   24                    no answer                                 13             £25,000 - £35,000                   25

 

 

 

 

 

 

 

Gathering income data from a survey is always difficult as many people do not like to provide such personal details, but in a housing survey income data is key to determining the affordability of homes in the local area.

 

Affordability in housing terms is the relationship between a household’s income and the cost of their housing.  English Rural recommends that, in line with recognised good practice, a household should not commit themselves to a mortgage of more than 3.5 times their gross income at the very most

 

Households earning even as much as £35,000 should not ideally be considering a mortgage commitment above £122,500, which allowing for savings might mean they could buy a home for around £130,000.  In Winscombe and Sandford, the average current price for a 2 bed home is £203,000.  It is clear that many of the households seeking a move within the next five years will struggle to resolve their housing need without assistance in the current housing market.

 

More than 2/3 of the owner occupiers without mortgages are retired households wishing to downsize or move into specialist housing for older people.  Of the households living with friends and family, most are single people but the number does include families with young and grown-up children, couples and older people.

 

 

Almost all the households wanting to move to a bigger or smaller home want to stay somewhere in the parish.  All of the households moving to be nearer to work want to move away from Winscombe and Sandford.  The survey was not circulated to local employers – had it been the results of this question could have been greatly different with households wanting to move into the village to be near their place of work.  This is an area for future research and follow-up to ensure the housing needs of local employees are met.  The majority of households wanting to rent or buy a home of their own are single or couples, but this number does include 17 families with children.

 

The significant majority of households wanting to move in the next 5 years want to stay within the parish.  We already know that a quarter of those wishing to move away from Winscombe and Sandford want to do so to be nearer their place of work.  This is a clear message to the village that there are housing needs to be met locally.

 

 

There is a clear concern from local people wanting to move within the parish about the supply of affordable housing. 

 

There appears to be a greater demand for smaller homes in the village, which reflects the higher demand from single people and couples wanting to move home.  This also reflects the picture of housing need in the district.

 

 

 

 

 

 

 

 

 

The relatively low number of households that are on the Council’s Register suggests that many people do not consider that registration would lead to a solution to their housing problem.  In fact, this is not the case and the Council’s Housing Needs Register is the route through to both any rented and low cost home ownership homes that may be developed in the village.  Households unable to meet their housing needs in the village are encouraged to register on the North Somerset Council housing waiting list if they want to be considered for a new affordable home in the village.

 

(Please see www.n-somerset.gov.uk/housing or call the Housing Options Team on 01275 888888)

 

 

There is a clear message here that people who have been forced to move way from the village because they couldn’t afford a home there, would like to return.  We don’t know at this stage what type of households these are, but future detailed work on individual households’ needs will be undertaken as affordable housing developments are explored.  Local households will be encouraged to contact friends and family and ask them to come forward to register their needs.

 

 

Again, it is clear that housing affordability is a key issue for households in the village, this time preventing family members from being able to move into the parish to give or receive care and support to existing parish residents.  These households will also be encouraged to come forward to register their housing needs as future affordable housing developments are explored.

 

 

There is a small demand for live-work units in the parish that could be explored further.  Live-work units combine housing and work or office space, either in the same building or as a separate home and work unit.  The North Somerset Council Replacement Local Plan promotes live-work units as a form of sustainable development in the villages as they can reduce the travel-to- work impact on our environment and can support economic activity in rural areas.  This is an area for future research by the Parish Council and an appropriate development partner.

 

 

 

 

2. Key findings on affordable housing need in Winscombe and Sandford Parish

 

Housing affordability is the relationship between a households’ income and the cost of meeting their housing need in the local market.  In very general terms, looking at the income and make-up of households in the village, we can determine the type and tenure of homes that could be built to help meet local housing need.

 

 

Generally, households earning below £20,000 will have their housing need met by affordable rented provision.  Households earning £25,000 - £35,000 will usually be able to afford subsidised shared ownership.  Other affordable housing products that are available without public subsidy are usually targeted at households earning over £35,000. These are broad guidelines which English Rural uses to help determine the tenure of homes needed.  In every case, individual assessments of a household’s income and financial situation are needed before making recommendations about the type of housing most appropriate for them.

 

Rented homes:

 

The greatest need for affordable housing in Winscombe and Sandford is for affordable rented homes.  Housing associations receive funding from central and local government to enable them to build new properties that can be rented out at an affordable level.  Housing associations have to let their homes at Housing Corporation target rents.  Homes are usually let on assured tenancies which provide the household with security of tenure and help create stable communities.  The survey reveals that, based on the income data available, around 90 households were identified with a need for an affordable rented home in the Parish.

 

 

Shared ownership homes:

 

Shared ownership allows a household to buy a part share in a new home, whilst the housing association retains the unsold share. Unlike many housing associations, English Rural Housing Association does not charge a monthly rent on the unsold element of the property, making rural shared ownership a truly affordable model for first time buyers.  The purchaser typically buys 50% of the equity of a property and can buy additional stakes in their home up to a maximum of 80%.  This means that a property worth £200,000 is available to a household earning £30,000 who have some savings and who can achieve a mortgage of around £95,000. This shared ownership model relies on funding from central and local government to make it affordable.

 

No stamp duty is payable on these shared ownership homes as they cannot be bought outright.

 

Survey results show that there is a need for between 24 and 47 subsidised shared ownership homes in the parish.  A detailed assessment of a family’s income and outgoings is needed to determine if and what type of shared ownership is appropriate and affordable.

 

Low-cost home ownership provided without subsidy

 

These are homes provided without public funding for households on higher incomes who still can’t afford to buy on the open market.  There are different models of subsidy-free home ownership, but these homes are typically sold at prices of up to 75% of open market value.  This means that a home valued at £200,000 will be available for £150,000 to a household earning around £37,500 with a 10% deposit.

 

The survey shows that there is a need in the parish for affordable housing for couples and small families who could afford to buy one of these discounted homes but who would not require a subsidised affordable home.

 

 

3        Conclusion

 

It is clear from the survey responses that, whilst a great number of parish residents do not expect to move in the next five years, those who do will largely struggle to afford to meet their own housing need on the local open market.

 

The majority of households looking to move want to stay within the local community, with the greatest demand being for Winscombe village.

 

There is a clear housing need from single people and couples who do not have homes of their own and are living with family or friends.  There is also a clear need from existing home owners for housing suitable to down size or move up into.  In particular there is a need from older households without mortgages for smaller homes.

 

The lack of affordable housing is given as the main reason why someone wanting to move within the village probably can’t.

 

Some households have moved out of the parish as they couldn’t afford a home locally – most of them would like to return.

 

Families of local households can’t afford to move into the parish to give or receive support.

 

There is a small local need for housing appropriate for older people requiring care and / or support in the parish.

 

There is a clear open market need for smaller units of accommodation.

 

 

4 Recommendations for action to meet local affordable housing need

 

Winscombe and Sandford PC now have the evidence needed to support the provision of affordable homes for local people.  English Rural would like to make the following recommendations on how this matter can be taken forward.

 

4.1 Provision of housing for the elderly is largely going to be met by the new sheltered housing development being built by St Monica’s on the former Sandford Stone site.  This will include an element of affordable housing places for local people.  It is recommended that no additional specialist development for older people is undertaken as the need is not significant.  Any homes built by English Rural will be developed to lifetime homes standard and will be suitable for older households and adaptable as their needs change.

 

4.2:  The need of affordable homes for rent and shared ownership is best met by a housing association registered with the Housing Corporation.  Discounted market homes can be developed by both housing associations and private developers.  There are developers – both private and social – who have a track record of, and specialise in, delivering rural homes

 

4.3: There is a significant need for affordable housing for local people in the village, but it would be inappropriate and contrary to planning policy to develop one large site to meet this need.  Instead, English Rural Housing Association recommends that the Parish Council works with them to identify a series of smaller sites to enable provision across the parish, with the bulk of development taking place around Winscombe village.

 

4.4: In terms of meeting identified need, it is recommended that at least two-thirds of the new homes are provided for affordable rent, including smaller homes for single people and couples.

 

4.5: Further work on establishing the housing needs of local employees, former village residents and households with another local connection should be undertaken as part of gathering detailed housing needs data for individual housing proposals.

 

4.6:  Potential open market development sites should be used to meet the local need for smaller homes and to deliver planning policy requirements for affordable homes.  Evidence here supports the provision of rented affordable homes to be delivered though relevant planning policy.

 

4.7:  When public subsidy is used to fund affordable housing, most rented homes are subject to a ‘Right to Acquire’ and shared ownership homes to full staircasing to outright ownership.  The only exception to this is in settlements under 3000 population or areas designated as exempt by Central Government*.  Winscombe village has a population exceeding 3000 and the village itself is not covered by this exemption; affordable housing developed inside the settlement boundary with public subsidy is not guaranteed to be available as affordable housing in perpetuity.  However, the land outside the settlement boundary is exempt and where affordable housing is developed, this can be retained in perpetuity.  This information should be considered when determining appropriate forms of affordable housing, and its funding, inside the settlement boundary.  The regulations regarding funding and the ownership rights of tenants and shared-owners, may take precedence over planning requirements for perpetuity clauses.

 

(*Statutory Instrument 1997 no-621:  The Housing (Right to Acquire or Enfranchise) (Designated Rural Areas in the South West) Order 1997)