Affordable Housing, Section 106 query.

Bantex_2

ImACarer wrote: »

Because, like I said. A small 3 bedroom house they are selling on the SO (100% price) for £189,000, but a lot large property house in the same development that you can only buy from say, taylor wimpy selling for an £30k more. In comparison the SO house should only be around £150,000.

Sorry, I do not understand what that means.

purch

Bantex wrote: »

Sorry, I do not understand what that means.

Nobody expected you to.

Bantex_2

purch wrote: »

Nobody expected you to.

It appears to say that the SO property is £189k, but a larger house not SO is £219k.
The fact that a house that is a bit bigger costs a bit more is not exactly news.

ukcarper

Perhaps op could clarify i.e 100% price of SO property, price on normal property and the size of both, number of bedrooms room sizes etc.

ImACarer

purch wrote: »

Unfortunately you will find that in most cases where shared equity, or discounts are offered, they somehow manage to value the properties concerned much higher than they would fetch on the open market.

It's not right, but it is the norm.

Thanks for all your help and answers. Purch hit it spot on.

princeofpounds

Unfortunately you will find that in most cases where shared equity, or discounts are offered, they somehow manage to value the properties concerned much higher than they would fetch on the open market.

It's not right, but it is the norm.

It's precisely what you would expect in a market situation where demand has been stimulated - in this case by the extra capital contributed to the 'buyer' by the various schemes - and supply is not able to respond - because the planning system strangles the ability of people to build housing for people.

ImACarer

Mind you, its good as long as it get you out of a Mortgage. Anyway guy, thanks for your input.

leveller2911

daveyjp wrote: »

Generally sold at a percentage below open market value. Affordable houses are also more expensive to build as standards are higher and minimum floorspace is often dictated.

Purely ancedotal but having working in the industry for over 25 years,I'm yet to see a single "Affordable housing" or Social Housing" property that has a higher spec than fully private sector home.

All properties built in the UK have to meet certain standards (Building regs etc) they are no bigger ,certainly no better, than any other housing built in the UK. In fact they will be of a lesser spec and so cheaper to build..

I would be interested to see some evidence of your claim..

leveller2911

princeofpounds wrote: »

It's precisely what you would expect in a market situation where demand has been stimulated - in this case by the extra capital contributed to the 'buyer' by the various schemes - and supply is not able to respond - because the planning system strangles the ability of people to build housing for people.

A similar thing happend with the "Car scrappage scheme" run by the Government. All the manufacturers did was to raise the prices of the product knowing the taxpayer would take the hit on the £2,000 or so allowance given on the traded in heaps of junk .

CLAPTON

leveller2911 wrote: »

Purely ancedotal but having working in the industry for over 25 years,I'm yet to see a single "Affordable housing" or Social Housing" property that has a higher spec than fully private sector home.

All properties built in the UK have to meet certain standards (Building regs etc) they are no bigger ,certainly no better, than any other housing built in the UK. In fact they will be of a lesser spec and so cheaper to build..

I would be interested to see some evidence of your claim..

after 25 years working in the industry, you know remarkably little about building regs and even less about social housing building standards.