Uttlesford housing market report: October 2023

This information is designed to provide information on the current housing market pressures within the district.

Information is taken from the web-based analytics company Hometrack (hometrack.co.uk) and is based on sales and valuation data.
 

Context

Property prices in Uttlesford are higher than figures for the Eastern region due to the district's proximity to London and Cambridge. For example, the average price of a property is £413,829 for the Eastern region compared to £548,667 for Uttlesford.
 

Uttlesford prices over time

Figure 1 provides information on the overall property prices in Uttlesford between January 2022 and October 2023. The most expensive properties are within the 90th percentile compared to the lower quartile which provides information on the lowest 25% (prices) of properties.

The most expensive properties (90th percentile) have changed from £986,666 in January 2022 to £923,333 in October 2023 compared to the lowest priced properties which have changed from £363,333 in January 2022 to £353,333 in October 2023. The average property price has reduced from £579,388 in January 2022 to £548,667 in October 2023.

Figure 2 shows the average property price for October 2023 at ward level.

The highest average price was for Hatfield Heath at £929,733 compared to £404,368 for Saffron Walden Shire ward.

The average price for the Uttlesford district is £548,667 and is included to enable comparison between individual wards.

Property prices by number of bedrooms

This section will look at property prices by bedroom size at ward level.

Data for 1 & 2 bed flats is incomplete due to no sales/property valuations for flats within several wards and is therefore omitted.
 

Houses

House price data by ward for October 2023 is given in Figure 3 showing the prices for 2, 3 and 4-bedroom houses.

Average price data for 2-bedroom houses was not available for all wards and so price information is shown in figure 3 for those wards where it was available.

The least expensive two-bedroom house was £290,000 within the Ashdon ward and the most expensive was £461,777 within the Clavering ward. The average price of a two-bedroom house within the Uttlesford district is £361,955.

Three bed houses range from £365,977 within the Saffron Walden Shire ward to £781,250 within the Hatfield Heath ward.

Four bed houses were least expensive in the Flitch Green & Lt Dunmow ward at £469,024 compared to £916,667 in the Ashdon ward.

Affordability

The chart in Figure 4 shows the amount of deposit required to purchase a 2-bedroom house on the open market by ward. The deposit is 15% as per the guidance and analysis from the Hometrack Housing Intelligence System is used.

No sales/valuations data for 2-bedroom houses was available for the Hatfield Heath, The Sampfords and Debden & Wimbish wards.

The ward with the lowest deposit required of £43,500 is Ashdon compared to Clavering which is the most expensive with a deposit of £69,250 required. A deposit of £54,293 is required on average to purchase a 2-bedroom house within the Uttlesford district.

Income

The district benefits from higher-than-average salaries due to a large number of residents working within the technical and highly skilled professions.

However, 70% of PAYE residents within the Uttlesford district (ie self-employed not included) earn below £34,786 pa and 60% earn below £29,177. The median (mid-range) of incomes for PAYE residents is £25,498[1].

To access the cheapest 2 bed property of £290,000 in the Ashdon ward on the open market in October 2023, a joint household income of c£54,777 with a 15% deposit or £58,000 with a 10% deposit was required. These figures would vary if the household had debts that needed to be considered and are based upon lending of 4.5 x joint income.

To meet the housing needs of local residents, the Council requires 40% of development on schemes of 15 or more units to be delivered as affordable homes. This will include an element of sub-market rent and ownership products. In addition, communities can consider a small Rural Exception Site housing scheme to deliver homes for people with a strong connection to that Parish. Please contact the Housing Strategy Team for more information.

Sub-market ownership products include shared ownership and First Homes. The shared ownership product enables purchasers to buy a portion of the property and rent the remainder.
 

First Homes

All planning applications for market led sites determined after 23/3/22 require at least 10% of all properties to be for low-cost home ownership and 25% of the affordable provision to be First Homes for first time buyers available at a discount of at least 30%. A price cap of £250,000 after discount applies outside of London.

In October 2023 a 30% discount resulted in 2-bedroom houses being below the price cap of £250k in 10 out of the 20 wards where price data for 2-bedroom houses is available.

The average price of a 2-bedroom house in the Uttlesford district after a 30% discount is applied is now £253,369 thereby exceeding the £250k price cap for First Homes after a 30% discount is applied.

No sales/valuations data for 2-bedroom houses was available for the Hatfield Heath, The Sampfords and Debden & Wimbish.
 

Conclusion

This report has provided a brief overview of the current housing market in Uttlesford at ward level as of October 2023.

Affordability remains difficult, but the provision of affordable homes helps towards trying to meet the needs for Uttlesford residents.

[1] Annual Gross Pay UK 2021 Table 8.7a Office National Statistics 2021