People being priced out of the market
Many local people in villages and small town across the borough are priced out of the housing market, with young couples and families being forced to move away, council documents reveal.
The council wants to fix this by providing affordable homes in rural locations so people can remain in the village or town where they have family or work ties. There are different types of affordable housing, for instance, when rent is than lower market levels within the area, or homes are sold at a discount, with eligibility determined through local income and housing prices, or help for first time buyers. Properties may be owned by local authorities or nonprofit housing associations. Developers wanting to build market houses are often required to deliver affordable homes too.
But what kind of prices are people facing and how many need affordable homes?
A report published in 2014, showed that in 2013 a quarter of households in the borough had an income below £20,000, with the overall average income of all households estimated to be £31,600, with a mean income of £42,000.
The council’s new document, adopted this week, says across the borough it is estimated around 43% of households are unable to access market housing on the basis of income levels.
So, using projections provided in the report, in 2014 around 28,000 households couldn’t afford market housing and that number has climbed to around 31,000 in 2020. Separate figures show the average property price for Maidstone in February was £287,800.
It is clear young people in the area are keen to get on the housing ladder. Since the Help to Buy scheme was launched in 2013, 1,081 loans have been used in Maidstone to buy homes. The loans can be used to purchase a new build property up to the value of £600,000, and can cover up to 20% of the price.
Last year saw 221 loans used in Maidstone, and the average amount loaned was £75,900, above the £69,400 average across England.
Many schemes, despite offering the Help to Buy Scheme, are still well out of many people’s price range. A new-build three bedroom home on the edge of Aylesford, for instance, is being sold for £425,000.