The latest figures from the Office for National Statistics have found that the projected household representative rate variant shows a large reduction in the projected number of households by mid-2041.
The difference is some 845,500 households than first projected with all regions of England seeing a drop and London seeing the largest decline at 329,200.
Please find below comment from Shepherd Ncube of national fast sale agent, Springbok Properties, and Marc von Grundherr of London estate agent, Benham and Reeves.
Founder and CEO of Springbok Properties, Shepherd Ncube said, “Some very notable adjustments where the number of predicted households is concerned and a telling sign perhaps, that despite current market conditions, the high price of property across England is keeping many from owning their own home and therefore reducing the number of households expected over the next twenty or so years.
“More and more of us are opting to stay at home for longer for financial benefit and this changing face of society and how we live is bound to have an impact over the coming years.
“Despite the brief Brexit inspired pause in house price growth, it’s likely we will see prices continue to increase and more and more homebuyers remain priced out of the market, so these projections could well see another adjustment.”
Director of Benham and Reeves, Marc von Grundherr said, “While today’s figures are not predictions on how many houses we need to build as such, the Government will certainly be breathing a sigh of relief that these previous estimates were higher than now thought given their severe lack of performance in delivering new homes.
“It’s somewhat of a double-edged sword where London is concerned. A continued lack of affordability and homes being built will no doubt contribute to the capital seeing the largest decline in projected household numbers; however, pockets of the capital are also predicted to see some of the largest growth.
“This not only demonstrates the diversity of the London market but that despite all that is being thrown at it, it remains one of the most desirable places for people to live.”