Affordable Housing and New Build Property...
Hey guys,
Call it Social housing, affordable housing, keyworker housing, shared ownership, or whatever you like but at the end of the day, it's a socially responsible policy and at least for the foreseeable future - it's here to stay. It's also an often overlooked aspect of the new build market but it's something that investors are having to get more and more used to.
Now I am not one to play politics, but sometimes I'm happy to throw my two bob's worth.
I don't believe in social housing. I don't believe in creating a dependency relationship or reinforcing an entitlement mentality. l never had the silver spoon and l have worked for everything I have and I believe that giving away cheap housing just because people can't afford it is not the answer. It's a simple sure fire way of creating people that live beyond their means and expect what they can't afford.
I would much rather see people being educated from a young age about the ways of money. It's why I am so focussed on getting good quality education and support into the marketplace. Anyway, the point is if you are using a new build /off plan strategy you will be exposed to social housing. You can try and avoid it but at some level you will be exposed to it, but in my experience having a social element as part of a development doesn't have to be a problem. Let's look at some of the ways of managing the problems associated with people that don't fit my "everyperson" classification.
- Buy in smaller developments with no affordable housing
- Buy in larger developments with housing that is in separate blocks
- Don't buy in blocks with an affordable element
- If you have to buy in a block with affordable, sometimes they will have different entrances and no access to normal housing, try to get these plots
- Make sure you have a strong management company that will jump on any problems before they get out of hand.
As well as all this, another thing you can do is get a better understanding of the actual social housing policy.
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When most people think "affordable housing", they think of people with no job, lots of kids, foul mouthed, poorly dressed and even poorer diets. In fact the truth can often be totally different. They can be firemen, police and teachers that are using the affordable housing as a cheap means for living.
My first impression when I heard that affordable housing people lived in my development was actually horror, but now, years later, many are still my neighbours and don't fit my earlier stereotypes at all.
So, when you hear about the affordable element, don't immediately discount the development. Look a bit deeper and always remember that you don't have to live there!
Live with passion,
Brett Wood
PS. On a personal note, I have a number of properties which have affordable elements and have never had any problems with them. I think it's because I only ever buy the everyperson house. This basically means -- don't buy where the poor or rich live -- but where the "everyperson" people like you and I live. They have jobs, pay the rent, and treat the property like a home.