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Powys Montgomeryshire private rented sector

Local needs affordable housing in rural communities Wales - Rural Housing Enabler - Powys Montgomeryshire private rented sector

Private rented sector - Montgomeryshire 

Key findings 

The private rented sector plays an important role in housing people in Montgomeryshire and elsewhere. Economic circumstances as well as political drivers make it likely that this private rent sector will increase in importance. This means there is an opportunity for more engagement between the private and public sector and not for profit housing providers. In line with the proposals in the Welsh Government White Paper on housing, the housing market can be looked at as a whole. Working together can add value to the role of the private rent sector and ensure the housing sector as a whole is providing a good service to tenants and those in need of a home in Powys. 

  • The private rent sector plays an important part in housing people in Montgomeryshire. 
  • It is estimated that the private rent market in Montgomeryshire supplies around 50% of new occupied properties.Newtownand Welshpool are the main clusters of supply in the private sector and there are six other minor clusters. 42% of supply is scattered around Montgomeryshire in smaller settlements or countryside. 
  • It is estimated that between 10% and 19% of new lettings in the private rent sector is affordable. This indicates the private rent sector caters for 19% to 29% of affordable rent supply. The variation in percentage depends on which definition of affordable rent is used. 
  • Average rents in Powys County Council’s monthly private rent monitor don’t differ significantly from the figures found for Montgomeryshire. 
  • Local Housing Allowance rates are on the lower side for new lettings. Data published by Hometrack are substantially higher than LHA rates published by the Welsh Government. 

Suggestions for action

It is key to find the win-win situations for tenants in housing need and landlords looking for tenants. 

  • More engagement between private and public sector and not for profit housing providers. Challenge perceptions about the private sector: expensive, not secure, less quality; as well as perceptions about tenants: can’t pay, don’t care, undesirable.
  • What are the mutual interests?
  • Encourage private landlords to advertise (affordable) properties on the Powys housing options website.
  • Promote the private sector as an alternative to RSL/Council rent or (affordable) sale. Find out more about under what circumstances people would like to enter the private sector and under what circumstances private landlords would like to let to people on the Powys Housing Needs Register.
  • Encourage the use of subsidies available for home improvements, especially with regards to energy saving measures. This is a benefit for the tenant as well as the landlord.
  • Further research into the accuracy of the published Local Housing Allowance.