New research shows high tenant satisfaction with mid-market rent
New research commissioned by CIH Scotland in partnership with Wheatley Group has found high levels of satisfaction among tenants living in mid-market rent properties in Scotland.
But the research also shows there is still limited awareness among many people about what mid-market rent is, the potential benefits it offers and whether it might be an option open to them.
The research was commissioned to gain a better understanding of the strategic drivers behind the development of mid-market rent (MMR) housing in Scotland. It was carried out by Anna Evans Housing Consultancy, now part of the Indigo House Group. A final report of the research findings was officially launched at a special session on mid-market rent at Day 2 of the CIH Scotland 2017 annual conference today in Glasgow.
There are currently estimated to be between 3,000 and 4,000 MMR homes across 21 local authority areas in Scotland.
The research found that an overwhelming majority of MMR tenants were impressed with the quality of their homes, emphasising the ‘high standards of design’, ‘modern features’ and ‘value for money’.
Around half of MMR tenants taking part in the research said they planned to stay in their MMR home long term while the remaining half had ambitions to save up to buy their own home.
Despite the strongly positive overall assessment of mid-market rent from current tenants, general public awareness remains limited with 86% of people surveyed as part of the research saying they had never heard of mid-market rent.
The research concludes that, while there are potential opportunities to develop more family mid-market rent homes in areas where there are few affordable alternatives for families, the scope to develop mid-market rent properties aimed at older people remains less clear.
It recommends that local authorities should share knowledge of the positive role MMR can play particularly in areas where it has not yet been introduced. While recognising the positive role MMR can play in increasing the supply of affordable housing, increasing choice of type of housing and contributing to regeneration, it also highlights potential problems of using public subsidy to compete directly with the private sector. It recommends specific guidance to developers on associated competition and state aid considerations.
Commenting on the research, Lorna Wilson, Research and Development Manager at Wheatley Group said:
“We are pleased the research highlights the positive experience tenants have had after moving into a mid-market home. This certainly chimes with the feedback we have received from our own mid-market customers. Although it is still a relatively new tenure, our experience is that it is already very popular and a good solution for people on modest incomes who can’t buy or rent privately but, at the same time, are unlikely to be awarded priority for social housing. We hope the research will encourage further discussion and debate about the future of mid-market renting in Scotland.”
CIH Scotland Policy and Practice Manager Ashley Campbell said:
“Used appropriately and in the right locations, mid-market rent can make a positive contribution to the overall housing mix. This research provides a helpful overview of how mid-market rent has developed in Scotland and how it might further develop in the future. It should offer housing professionals a useful insight into general attitudes to mid-market rent and help to stimulate thinking about how best to manage its future development.”
Notes to Editors
1. Further information about “Housing Need and Aspiration: the role of mid market rent”, can be found here.
2. More information about the CIH conference can be found here: http://www.cih.org/events/display/vpathDCR/templatedata/cih/events/data/Scotland/CIH_Scotland_Conference_2017
3. Wheatley Group is Scotland’s leading housing, care and property-management group, providing homes and services to over 200,000 people in 17 local authority areas across Central Scotland.
4. The Chartered Institute of Housing (CIH) is the independent voice for housing and the home of professional standards. Our goal is simple – to provide housing professionals with the advice, support and knowledge they need to be brilliant. CIH is a registered charity and not-for-profit organisation. This means that the money we make is put back into the organisation and funds the activities we carry out to support the housing sector. We have a diverse membership of people who work in both the public and private sectors, in 20 countries on five continents across the world. Further information is available at: www.cih.org
5. For further information, please contact: Alex Bruce at Orbit Communications on email@example.com or 0131 603 8996 / 07747 636504.