03 Feb 2025
How Long Does a Property Spend on the Market in Chelmsford?
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The issue of new housebuilding in the UK stirs strong emotions. Many believe their local areas are turning into construction zones, with too many homes being built, disrupting the character of towns and villages.
But is this perception grounded in reality?
The Labour government, which came into power in the summer of 2024, has set a bold target: 300,000 homes built annually for the next five years, amounting to 1.5 million new homes by the end of their tenure. This figure sounds ambitious – and perhaps a touch optimistic – when you consider that, as a nation, we’ve averaged only 170,000 to 180,000 homes per year over the last two decades.
In the past 12 months, the number of new homes started and completed across the UK has fallen significantly short of the Labour government’s target. For instance:
These figures reveal a startling truth: we are building far fewer homes than we need, even as the housing crisis deepens. To meet the government’s goal, we must build 10.71 homes annually per 1,000 existing homes.
Despite concerns about overdevelopment, the data tells a different story. The UK is not building anywhere near enough homes to meet the needs of its growing population. Even independent studies show we must deliver at least 300,000 homes annually to address decades of undersupply and support demographic changes, such as longer life expectancies and smaller household sizes.
Many people say we don’t have the space to build these homes, but would it surprise you that only 1.2% of England and Wales is built on with residential homes? If we were to add Scotland to that number, that percentage would tumble even further.
Many people in Chelmsford feel the city has become a building site. However, the statistics show we’re falling behind, not exceeding, the levels required to maintain a healthy housing market. The visible developments often mask the fact that we are still underperforming nationally.
So, let’s look at the stats for locality …
So, the number of Chelmsford homes built per 1,000 existing homes over the past year is 5.98, far below the benchmark required to start to alleviate housing shortages.
When breaking down the data, it’s clear that new builds are heavily skewed towards the private sector:
While private developers dominate the market, the contribution from housing associations has been modest. However, the local authority’s lack of building homes is frankly quite disappointing. This is a critical point: without a greater push from the public sector, especially our local authority, the affordable housing shortfall will persist.
There are several reasons for the gap between aspirations and reality:
For homeowners in Chelmsford, the lack of sufficient new builds has real consequences. A restricted supply of homes contributes to higher prices and limited options for buyers and renters. For those looking to move, the challenge isn’t just finding a buyer but finding and securing their next home.
I understand these frustrations as someone deeply involved in the local Chelmsford property market. It’s not just about the numbers but how they affect people’s lives. I encourage anyone curious about what these trends mean for their property journey – whether they’re looking to sell, buy, or understand the market better – to reach out. There’s no obligation; I’m here to help guide and support you with the knowledge I’ve gained from years in the industry.
To address the housing crisis, we need a balanced approach:
Building 300,000 homes a year is a steep climb, but it’s one we must tackle head-on if we are to meet the needs of future generations of Chelmsford people. The question is not whether we are building too many homes but whether we are building enough – and the answer, quite clearly, is no.
I certainly know if we are building these extra homes in Chelmsford, the infrastructure alongside these new homes needs to rise as well, like new schools and extra capacity at our hospitals.
I’d be delighted to chat if you’d like to discuss how these issues impact the local Chelmsford property market – or your own housing plans. Feel free to give me a call or drop me a message. Together, we can navigate the challenges of the housing market with confidence and clarity.
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