England’s cities face a significant housing challenge, with 44,130 vacant houses recorded in 2022, according to Open Property Group research. Birmingham leads with 5,496 empty homes, followed closely by Liverpool at 4,880. Cities like Cambridge, Gloucester, and St Albans report far lower vacancy rates, with 310, 391, and 392 empty properties respectively. The disparity raises questions about regional housing availability and utilization.
Vacant Homes by City
While Birmingham and Liverpool grapple with substantial numbers of unoccupied properties, smaller cities and towns show markedly better rates. Cambridge’s 310 vacant homes reflect its compact urban layout and high demand, while Gloucester’s 391 and St Albans’ 392 highlight effective housing management strategies. These figures suggest localized factors influencing vacancy rates, from economic conditions to demographic shifts.
New Build Sales Struggles in the Midlands
The Midlands region faces particular challenges in new home sales, with Nottingham recording only two new builds sold in 2022 and Leicester selling just six. When compared to vacant property counts, the data reveals a troubling pattern. Birmingham’s 5,496 vacant homes coincide with 337 new build sales, while Liverpool’s 4,880 vacancies align with 114 new build sales. Sheffield and Leeds also show notable gaps, with 2,838 and 2,693 vacant homes paired with 44 and 274 new build sales respectively.
Jason Harris-Cohen, Managing Director of Open Property Group, notes that new build homes are typically sold at premium prices. However, rising mortgage rates and the cost-of-living crisis have led buyers to compromise, resulting in low new build sales despite aggressive construction efforts. He emphasizes the potential in revitalizing vacant properties, which could be made available at more affordable price points without requiring luxury features. The challenge lies in incentivizing current owners to release these homes, possibly through compulsory purchase orders or empty dwelling management orders.
The report questions whether the issue stems from an overabundance of vacant homes or insufficient new construction. Homes England data indicates 37,164 homes completed and 38,436 started between April 2021 and March 2022. Combined with over 44,000 vacant properties in 2022, the statistics prompt a deeper examination of housing stock utilization and market affordability. The industry must assess existing housing resources and buyer capacity in the current economic climate, considering both supply and demand trends.
