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v class="googleright">The need for affordable housing is on the rise and the rate of those in need of the housing continues to climb. In order to assess the on-going viability the affordable housing developments Local Authorities need to show that their developments can remain within the target affordability range. This assessment of the viability of affordable housing and new developments in the planning stages is a most important and critical aspect of the development process.
Without the ability to show that the planned housing development can start out affordable and remain affordable in the indeterminate future, the housing may not be developed under the regulations of the affordable housing viability Section. Using various viability-testing methods in addition to market research, the review and development of various independent appraisals and writing of reports helps the local authorities determine the need and viability of affordable housing developments.
The need for affordable housing viability is clear; the entire housing market has plummeted since the worldwide recession began. New development rates have continuously gone down and have stayed that way for over two years and this resulted in the worldwide need for affordable housing. Because those families who once purchased new homes within new developments no longer have the means for affording them as they once did before, they are looking for cheaper, more affordable housing instead.
The local authorities have the responsibility to assess the needs of their local population and determine if the affordable housing is viable based on those needs. If it is, then a specific set of standards must be upheld when planning for new developments. This local population has a general demographic including the loss of employment, which in turn necessitates the need for that family to obtain cheaper housing.
However, because of the scarcity of affordable housing in the local areas, they are compelled to move away. With affordable housing viability assessments, which will lead to the ability to develop and build affordable housing developments, this creates the distinct possibility for those families to stay in the local area and contribute to the local economy while continuing to have the ability to pay for the housing.
Using the housing market area as guidance, the local authorities can assess the future need for affordable housing, thus determining the viability of the market and need. Currently, with housing market trends that continue to slip [link widoczny dla zalogowanych], the need continues to rise with each lost job. However, the viability is not seen in each development, even though the need is there. In a case such as this, the local authorities must make available housing at or below cost when the development of affordable housing is not viable.
This can leave the developers in a bind, especially because new housing developments tend to be quite expensive [link widoczny dla zalogowanych], so the township takes a loss. While the need for cheaper or affordable housing is a vast one [link widoczny dla zalogowanych], determining the extent of that need is critical to the local authority’s sense of whether the affordable housing is viable and can be developed or not.
Chris Tyrrell writes for the Three Dragons, a company that specialise in affordable housing studies thr
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