Bedrooms vs ownership

GreatApe

GreatApe

20% ownership for 1 bed properties, nearly 90% ownership for 4 bedroom properties.

If people want ownership to go up they need to force renters to buy 1-2 bedroom properties.

Conrad

Hang on, give us a link for these numbers.
I suspect these stats are classing a leasehold flat as rented because the owner of the individual flat is not the freeholder of the land.


More detail required please

GreatApe

Conrad wrote: »

Hang on, give us a link for these numbers.
I suspect these stats are classing a leasehold flat as rented because the owner of the individual flat is not the freeholder of the land.


More detail required please

That is incorrect, as you can see the overall 64% ownership matches the often quoted ownership figures. These are just further broken down to ownership by bedrooms. So flats are counted as rented or owned or social depending on who lives in it and how it is owned. Eg a flat owned by the council is under social, a flat owned by an owner living it is is owned and a flat owned by an individual who rents it out is counted as rented

Its data from the 2011 cencus for England and Wales.

Where is your area Conrad, Enfield? It has data for each borough eg enfield

PasturesNew

To me this says that most people don't want to own a 1-bed if there's any chance they'll get a bigger place.... people will buy the biggest they can afford usually. 2 beds are most often preferable to those who can choose.

Many 1-beds are bought by landlords, who are often in a better position to buy 1-beds than owner/occupiers because they usually have a relationship with EAs and can move faster/be more of an assured sale and/or are in a position to snap places up at auction, up hold onto their first home, or take a risk on buying off plan.

The chart shows nothing as those who DO own each of those sizes of property bought them for a different reason to the "whole of market" reasons.

GreatApe

What I am trying to show is that having a little bit of data leads to the wrong conclusions, in this case ownership overall at 64% looks kind of low so the government and crash cheerleaders hold that up and cry housing crisis and unaffordability. But there is no housing crisis (with the exception of maybe inner London)

Dig a little deeper and we see that ownership is very high for properties with 3 or more bedrooms. The overall ownership rate for properties with 3 or more bedrooms is 78.1%

What is more if you break the data down further to those who are uk born and non uk born, the figures are even better for uk born households. Obviously recent migrants primarily rent and they push the rental figures up and ownership figures down.


When people call for higher ownership what they are really calling for is that renters should buy the small 1 and 2 bedroom homes they do not want to buy.

GreatApe

West Midlands ownership vs Bedrooms



16% of 1 bedroom properties owned, nearly 90% of 4 bedroom properties owned

GreatApe

Wales Ownership vs Bedrooms

michaels

One often discussed issue is whether movign properties from rented to OO reduces the average number of residents per property and thus exacerbates any housing shortage. I suspect that at least for 1 bed properties the occupation levels are probably the same for both forms of ownership so at least for these properties any reduction in the current high rental proportion would not lead to a worsening of the housing crisis.

GreatApe

michaels wrote: »

One often discussed issue is whether movign properties from rented to OO reduces the average number of residents per property and thus exacerbates any housing shortage. I suspect that at least for 1 bed properties the occupation levels are probably the same for both forms of ownership so at least for these properties any reduction in the current high rental proportion would not lead to a worsening of the housing crisis.

Renters do not want to buy 1 bedroom homes, this is clearly shown by the fact that even in the very cheapest areas like the north and wales the 1 bedroom ownership rate is about 15%.

Even in good old stoke-on-trent one of the cheapest places in England, ownership for 1 bedroom properties is only 11% and its definitely not down to price as 1 bedroom properties in stoke go for a song.

Maybe the government and the crash cheerleaders should be protesting to force the builders to only build larger 3+ bedroom properties that owners want to buy. I have been saying for some years that the builders should be encouraged to build larger high end property and those who buy them will vacate smaller properties for people who can only afford the smaller properties. A chain reaction of purchases will happen if builders switched to building 5 bedroom properties. If they build 1 bedroom properties then its mostly going to go to landlords (as no owners want to buy them) similar with 2 bedroom properties not a huge demand from owners and those types of properties wont cause a multi chain exchange. Of course the silly public and government want to see builders build 'affordable property' which means the small low end which is not helping

michaels

Cells, do the figures break down property by type - it may be that flats are predominently rented and that they tend to have fewer bedrooms fo building 3+ bedroom flats wouldn't help home ownership either.

If this si the case then the issue is that the amount of land required per dwelling for houses is generally much greater per bedroom than for flats so using existing building land for purchase friendly houses rather than rental friendly flats is not the answer because the number of units that could be fitted is much smaller.