Rent and Local Housing Allowance Comparison - Brighton & Hove ...

Brighton & Hove

Private Sector Rent and Local Housing Allowance Comparison Report 3 February 2017

Private sector homes advertised to rent in Brighton & Hove at rightmove.co.uk on 3 February 2017 within LHA limits (out of 1,421 advertised) Studio

1-Bed

Single People under 35 and other sharers Single People over 34 Couples without children Families with children

Rent and Local Housing Allowance Comparison 3 February 2017

32

2-Bed

3-Bed

4-Bed

0

0

0

0

0

0

2 2

1

Rent and Local Housing Allowance Comparison The Council’s Assessment of Affordable Housing Need Report 20121 identified that almost 88,000 Brighton & Hove households (72%) can not afford market housing without spending a disproportionate level of their income on housing or some form of subsidy. This report is a snapshot of the number of private rented homes available on the rightmove.co.uk website in Brighton & Hove and neighbouring areas to identify how many of these are affordable to those on the housing benefit Local Housing Allowance (LHA). The LHA was originally set to reflect the average cost of renting different sized homes, the 50th percentile. In 2011 this was reduced to the 30th percentile which meant that 3 in 10 properties should fall within the LHA rate. Since 2011 the LHA rate has been increasing below the rate of inflation with rents increasing above the rate of inflation causing the gap between rents and housing benefit to widen. This is making it increasingly difficult for those on low incomes to find affordable housing within the city boundary of Brighton & Hove and they may need to consider moving along the coast where homes are more affordable. LHA rates are fixed across Broad Rental Market Areas (BRMA). The Brighton & Hove area extends along the coast from Shoreham to Newhaven and north to Lewes. All those within this area are able to claim up to the same LHA Allowance rate. Over the year we review around 10,000 homes to rent in the Brighton & Hove BRMA listed on rightmove.co.uk plus around 4,000 more homes in neighbouring areas. Whilst this report does not cover the whole rental market, for example, the majority of homes are already let and many properties are let quickly through agents or by word of mouth, it is a useful indicator of the market.

Brighton & Hove Broad Rental Market Area

PORTSLADE

BRIGHTON & HOVE Peacehaven

NEWHAVEN

For those on full housing benefit wanting to live in Brighton & Hove: •

Single People under 35 and other sharers – would find 0 affordable home, with 0 of the 2-bed homes, 0 of the 3-bed homes and 0 of the 4-bed homes, within the LHA limit

•

Single People over 34 – would have more opportunity renting a studio than 1-bed home with 32 studios within the LHA limit compared to 2 of the 1-bed homes

•

Couples without children - would find 2 of the 1-bed homes affordable but would have greater choice if they considered renting a studio

•

Families with children – would find 0 family homes falling within the LHA rate; 0 of the 2bed, 0 of the 3-bed and 0 of the 4-bed homes

1

Assessment of Affordable Housing Need Report 2012: www.brighton-hove.gov.uk/sites/brightonhove.gov.uk/files/downloads/ldf/Assessment_of_Affordable_Housing_Need.pdf Rent and Local Housing Allowance Comparison 3 February 2017

2

Single People Under 35 and Others Sharing 2-4 bed Homes for Rent

Total

Brighton & Hove Worthing & Lancing Shoreham & Southwick Saltdean to Newhaven Lewes Burgess Hill & Hassocks Seaford Total

1,029 71 29 57 35 49 39 1,309

2 bed

Homes within LHA limit 3 bed 4 bed Number

0 0 0 0 0 0 0 0

0 0 0 10 1 2 0 13

0 1 0 2 0 1 0 4

0 1 0 12 1 3 0 17

Percent

0% 1% 0% 21% 3% 6% 0% 1%

Those aged under 35 or other house-sharers receive a single room allowance which is smaller than the amount given to those eligible for the 1-bed home rate. These people are expected to live in shared housing. Overall, of the 1,309 larger 2-4 bed homes available to rent, 17 (1%) were within LHA limits. • 2 bed homes: Our analysis found 0 affordable 2-bed homes for two people sharing • 3 bed homes: Our analysis found 13 affordable 3-bed homes for three people sharing mainly located in Saltdean to Newhaven • 4 bed homes: Our analysis found 4 affordable 4-bed homes for four people sharing, located mainly in Saltdean to Newhaven

Looking to live in Brighton & Hove? Single People under 35 and other sharers on full Housing Benefit would find 0 affordable homes: • 0 of the 2-bed homes • 0 of the 3-bed homes • 0 of the 4-bed homes

Single People Over 34 Studio & 1 bed homes for Rent Brighton & Hove Worthing & Lancing Shoreham & Southwick Saltdean to Newhaven Lewes Burgess Hill & Hassocks Seaford Total

Total 392 75 5 7 6 8 9 502

Studio 32 5 0 0 1 0 0 38

Homes in LHA limit 1 bed Number 34 2 7 2 0 0 0 0 1 0 1 1 0 0 5 43

Percent 9% 9% 0% 0% 17% 13% 0% 9%

It is assumed that single people over 34 on local housing allowance would live in studio or 1-bed homes. Overall, of the 502 studio and 1 bed homes available to rent, 43 (9%) were within LHA limits. • Studio Flats: 38 were within LHA limits, mainly located in Brighton & Hove • 1 bed homes: 5 were within LHA limits mainly located in Brighton & Hove and Worthing & Lancing


Looking to live in Brighton & Hove? Single People over 34 on full Housing Benefit would find 34 affordable homes: • 32 of the studio homes • 2 of the 1-bed homes

3

Couples (no children) 1 bed Homes for Rent

Total


308 55 3 7 5 8 7 393

Homes within LHA limit Number Percent 2 1% 2 4% 0 0% 0 0% 0 0% 1 13% 0 0% 5 1%

It is assumed that couples with no children on local housing allowance would live in 1-bed homes. Overall, of the 393 1 bed homes available to rent, 5 (1%) were within LHA limits. • 1 bed homes: 5 of the 1-bed properties advertised were within LHA limits. They were located mainly in Brighton & Hove and Worthing & Lancing • Studio Flats: If a couple on LHA wish to expand their choice and cannot access work they may have to consider studio flats as there were an extra 38 of these available within LHA limits, 32 within Brighton & Hove (see Single People over 34)

Looking to live in Brighton & Hove? Couples without children on full Housing Benefit would find 2 affordable home (but would have greater choice if they considered renting a studio)

Families with Children 2-4 bed Homes for Rent

Total


1,029 71 29 57 35 49 39 1,309

2 bed

Homes in LHA limit 3 bed 4 bed Number

0 0 1 2 0 0 0 3

Overall, of the 1,309 larger 2-4 bed homes available to rent, 19 (1%) were within LHA limits. • 2 bed homes: 3 homes were found to be within LHA rates located mainly in Saltdean to Newhaven • 3 bed homes: 8 homes were found to be within LHA rates located mainly in Saltdean to Newhaven • 4 bed homes: 8 homes were found to be within LHA rates located mainly in Saltdean to Newhaven


0 0 0 6 0 2 0 8

0 1 0 6 0 1 0 8

0 1 1 14 0 3 0 19

Percent

0% 1% 3% 25% 0% 6% 0% 1%

Looking to live in Brighton & Hove? Families with children on full Housing Benefit would find 0 family homes falling within the LHA rate: • 0 of the 2-bed homes • 0 of the 3-bed homes • 0 of the 4-bed homes 70% of all 4-bed homes advertised were student lets

4

Rents and Local Housing Allowance Comparisons Single People Under 35 and Others Sharing Burgess Hill & Hassocks

2 bed

Average Rent (£/mth)

£958

Properties Advertised (#) Local Housing Allowance* (£/mth) Properties within LHA Rate (%) Properties within LHA Rate (#)

3 bed

4 bed

£1,234

£1,533

25

19

5

£690

£1,035

£1,380

0%

11%

20%

0

2

1

* LHA total assumes each bedroom occupied by someone on Single Room Rate

Lewes

2 bed

3 bed

4 bed


£1,124

£1,424

£1,798

Properties Advertised (#) Local Housing Allowance* (£/mth) Properties within LHA Rate (%) Brighton & Hove

2 bed

3 bed

4 bed


£1,326

£1,657

£1,970

510

231

288

£716

£1,074

£1,432

0%

0%

0%

0

0

0

Properties Advertised (#) Shoreham & Southwick Average Rent (£/mth) Properties Advertised (#) Local Housing Allowance* (£/mth) Properties within LHA Rate (%) Properties within LHA Rate (#)

2 bed

3 bed

4 bed

Local Housing Allowance* (£/mth)

£984

£1,342

£2,750

Properties within LHA Rate (%)

16

12

1

£716

£1,074

£1,432

0%

0%

0%

0

0

0

Properties within LHA Rate (#)


Seaford Properties Advertised (#) Local Housing Allowance* (£/mth) Properties within LHA Rate (%) Properties within LHA Rate (#)

Worthing & Lancing

2 bed

3 bed

4 bed

£1,158

£1,262

£1,472

31

31

9


£600

£900

£1,200

0%

0%

11%

0

0

1

Map: ©2011 Google | Map data: ©2011 Tele Atlas | Rents: rightmove.co.uk Rent and Local Housing Allowance Comparison 3 February 2017

Saltdean to Newhaven

2 bed

3 bed

4 bed


£1,004

£1,134

£1,484

20

29

8

£716

£1,074

£1,432

0%

34%

25%

0

10

2


12

3

£1,074

£1,432

0%

8%

0%

0

1

0

2 bed



20 £716

3 bed

4 bed

£888

£1,094

£1,300

26

12

1

£580

£870

£1,160

0%

0%

0%

0

0

0

5

Rents and Local Housing Allowance Comparisons Couples with No Children and Single People Over 34 Burgess Hill & Hassocks Average Rent (£/mth)

Studio £-

Properties Advertised (#) Local Housing Allowance (£/mth) Properties within LHA Rate (%) Properties within LHA Rate (#)

1 bed £776

0

8

£657

£657

-%

13%

0

1

Lewes

Studio


£650

Properties Advertised (#) Properties within LHA Rate (%) Studio


£707

£907

84

308

Local Housing Allowance (£/mth)

£663

£663


38%

1%

32

2

Properties Advertised (#) Shoreham & Southwick

Studio

Average Rent (£/mth) Properties Advertised (#) Local Housing Allowance (£/mth) Properties within LHA Rate (%) Properties within LHA Rate (#)

1 bed

£750

£838

2

3

£663

£663

0%

0%

0

0

1 bed


1

5 £663

100%

0%

1

0


Seaford Average Rent (£/mth) Properties Advertised (#) Local Housing Allowance (£/mth) Properties within LHA Rate (%) Properties within LHA Rate (#)

Worthing & Lancing Average Rent (£/mth) Properties Advertised (#)

Studio £546

£706

20

55

£520

£520


25%

4%

5

Studio

1 bed

£538

£664

2

7

£505

£505

0%

0%

0

0

1 bed



£1,533

£663

Local Housing Allowance (£/mth) Brighton & Hove

1 bed

2


Saltdean to Newhaven Average Rent (£/mth) Properties Advertised (#) Local Housing Allowance (£/mth) Properties within LHA Rate (%) Properties within LHA Rate (#)

Studio

1 bed

£-

£725

0

7

£663

£663

-%

0%

0

0

6

Rents and Local Housing Allowance Comparisons 31 July 201431 July 201431 July with Children Families Burgess Hill & Hassocks

2 bed


£958


3 bed

4 bed

£1,234

£1,533

25

19

5

£805

£964

£1,342

0%

11%

20%

0

2

1

Lewes

2 bed

3 bed

4 bed


£1,124

£1,424

£1,798

Properties Advertised (#) Local Housing Allowance* (£/mth) Properties within LHA Rate (%) Brighton & Hove

2 bed

3 bed

4 bed


£1,326

£1,657

£1,970

510

231

288

£834

£998

£1,471

0%

0%

0%

0

0

0

Properties Advertised (#) Shoreham & Southwick Average Rent (£/mth) Properties Advertised (#) Local Housing Allowance (£/mth) Properties within LHA Rate (%) Properties within LHA Rate (#)

2 bed

3 bed

4 bed


£984

£1,342

£2,750


16

12

1

£834

£998

£1,471

6%

0%

0%

1

0

0



Seaford Properties Advertised (#) Local Housing Allowance (£/mth) Properties within LHA Rate (%) Properties within LHA Rate (#)

Worthing & Lancing

2 bed

3 bed

4 bed

£1,158

£1,262

£1,472

31

31

9


£663

£803

£1,066

0%

0%

11%

0

0

1


Saltdean to Newhaven

2 bed

3 bed

4 bed


£1,004

£1,134

£1,484

20

29

8


£834

£998

£1,471


10%

21%

75%

2

6

6

Properties Advertised (#)


12

3

£998

£1,471

0%

0%

0%

0

0

0

2 bed



20 £834

3 bed

4 bed

£888

£1,094

£1,300

26

12

1

£657

£791

£1,020

0%

0%

0%

0

0

0

7

Affordability of Rental Properties for Households on Housing Benefit The table below shows the number of properties for rent that fall within the LHA rates and the number that are above the LHA rates by incremental increases. Single People over 34, Couples, Families

Brighton & Hove (Brighton & Hove LHA rate) Homes within LHA Homes up to £25 above Homes £25 to £50 above Homes £50 to £100 above Homes £100 and above All homes above LHA rate Total Homes Shoreham & Southwick (Brighton & Hove LHA rate) Homes within LHA Homes up to £25 above Homes £25 to £50 above Homes £50 to £100 above Homes £100 and above All homes above LHA rate Total Homes Lewes (Brighton & Hove LHA rate) Homes within LHA Homes up to £25 above Homes £25 to £50 above Homes £50 to £100 above Homes £100 and above All homes above LHA rate Total Homes Saltdean to Newhaven (Brighton & Hove LHA rate) Homes within LHA Homes up to £25 above Homes £25 to £50 above Homes £50 to £100 above Homes £100 and above All homes above LHA rate Total Homes Worthing & Lancing (Worthing LHA rate) Homes within LHA Homes up to £25 above Homes £25 to £50 above Homes £50 to £100 above Homes £100 and above All homes above LHA rate Total Homes Burgess Hill Area (Crawley & Reigate LHA rate) Homes within LHA Homes up to £25 above Homes £25 to £50 above Homes £50 to £100 above Homes £100 and above All homes above LHA rate Total Homes Seaford (Eastbourne LHA rate) Homes within LHA Homes up to £25 above Homes £25 to £50 above Homes £50 to £100 above Homes £100 and above All homes above LHA rate Total Homes Total within LHA rates Total above LHA rates Total

Shared Homes

Studio

1 bed

2 bed

3 bed

4 bed

2 bed

3 bed

4 bed

£663 32 4 9 19 20 52 84 £663 1 1 2 2 £663 1 1 £663 £520 5 4 5 4 2 15 20 £657 £505 1 1 2 2 38 71 109

£663

£834

£998

£716

2 3 7 10 286 306 308 £663 3 3 3 £663 5 5 5 £663 2 2 2 1 7 7 £520 2 1 1 4 47 53 55 £657 1 2 5 7 8 £505 1 6 7 7 5 388 393

1 8 501 510 510 £834 1 1 4 10 15 16 £834 1 1 18 20 20 £834 2 1 5 12 18 20 £663 31 31 31 £805 1 1 4 19 25 25 £657 1 2 23 26 26 3 645 648

231 231 231 £998 12 12 12 £998 1 11 12 12 £998 6 1 6 16 23 29 £803 31 31 31 £964 2 17 17 19 £791 12 12 12 8 338 346

£1,471 2 2 284 288 288 £1,471 1 1 1 £1,471 3 3 3 £1,471 6 2 2 8 £1,066 1 8 8 9 £1,342 1 2 2 4 5 £1,020 1 1 1 8 307 315

£1,074 1 1 229 231 231 £1,074 1 11 12 12 £1,074 1 1 1 9 11 12 £1,074 10 3 2 3 11 19 29 £900 1 30 31 31 £1,035 2 2 15 17 19 £870 2 10 12 12 13 333 346

£1,432 2 286 288 288 £1,432 1 1 1 £1,432 3 3 3 £1,432 2 4 2 6 8 £1,200 1 8 8 9 £1,380 1 2 2 4 5 £1,160 1 1 1 4 311 315


510 510 510 £716 1 15 16 16 £716 20 20 20 £716 20 20 20 £600 31 31 31 £690 25 25 25 £580 26 26 26 648 648

8

Affordability in Brighton & Hove for Households on Housing Benefit The charts below show the properties advertised for rent in the city that fall within the LHA rates and those that are above.

Brighton & Hove

2-Bed Home: Shared Homes

within LHA, - , 0%

All homes above LHA rate, 510 , 100%

Source: Rightmove Website


9

Miles Davidson Housing Sustainability & Affordable Warmth Manager t: +44 (0)1273 293150

Sue Garner-Ford Strategy & Performance Officer t: +44 (0)1273 293055

Housing Strategy Team Brighton & Hove City Council Housing Centre, Unit 1 Fairway Trading Estate Eastergate Road, Brighton, BN2 4QL t: 01273 293055 e: [email protected]