Professional Documents
Culture Documents
Housing Futures: Key Trends Shaping The Residential Market
Housing Futures: Key Trends Shaping The Residential Market
HOUSING
FUTURES
Key trends shaping
the residential market
HOUSING FUTURES
HOUSING FUTURES
WELCOME
In our first Housing Futures report in 2014, Strutt &
Parker Research outlined the major drivers within the
UKs housing market and made the case for tracking
creeping trends, the almost invisible structural
changes that fundamentally shift the way in which
we live over the long term. The themes we developed
remain at the heart of our research programme and
are further explored in this publication. Our goal is to
unearth those factors that will significantly impact on
our housing requirements over the coming decade.
Through our primary survey work of 2,000 respondents,
we asked people if they thought they were a GloMad,
a Tumbleweeder, or perhaps would like to live in a
Micro Mansion. The results at times both surprised us
and broadly supported our long term views. We feel
the research is relevant to everyone engaged in the
residential market and will provide valuable insight into
the UKs evolving housing needs. As such, we hope
you find it interesting, stimulating and invite you to
contact us with your thoughts and comments.
Stephanie McMahon
Head of Research
HOUSING FUTURES
THE SURVEY
RESULTS OF
THE SURVEY
MARKET DRIVERS
There are substantive forces
driving the UK property market.
Government policy, human
nature, accessibility to quality
transport, changing immigration
patterns and the performance
of the financial markets all
have a significant impact. By
combining these factors, we
have developed four unique
cornerstones of the market:
Demography, Finance, Lifestyle
and Location. A simple way to
illustrate our four cornerstones
is to look at UK housing tenure
over time. In 1971, owneroccupation outweighed renting
for the first time in the past
CORNERSTONES OF
THE UK MARKET
KEY:
RENT
OW N
DEMOGRAPHY
M
igration and
immigration patterns
FINANCE
A
vailability of credit
Equity leakage
Governance (tax, policy/law)
LIFESTYLE
Behavioural shifts
C
hoice of marital status
and number of children
23
77
1918
32
32
68
68
1939
1953
43
57
1961
51
49
1971
57
43
1981
68
70
32
30
1991
2001
64
36
2011
Living longer
Transportation options
Impacts of technology
7.9
KEY:
10.5
18-29
30-39
13.3
23.4
4 0-49
%
24.6
50-59
20.3
60-69
70+
INDUSTRY (%)
Education
9.5
Finance
8.2
Retail
7.5
Healthcare
7.4
6.3
Property
LOCATION
C
hoice of environment
RESPONDENT MAKE UP
Government
5.7
Technology
Construction
Manufacturing
Entertainment
5.7
4.9
4.8
3.7
HOUSING FUTURES
8.9%
7.6%
3.0%
3.3%
Scotland
North East
KEY:
CURRENT
DESIRED*
5.6%
3.3%
Yorkshire &
the Humber
1.7%
0.8%
5.4%
5.5%
Northern
Ireland
East
Midlands
8.3%
6.5%
East
Anglia
6.9%
5.2%
13.6%
8.9%
North West
12.8%
6.3%
LE ADING
LOCATIONS
Focusing solely on those who
intend to move within the next
five years, a quick glance at the
map shows that respondents to
our survey wish to settle in the
South East, South West and
the West Midlands. The South
West serves as a lifestyle and
retirement location, while the
South East and West Midlands
are established commuting
locations. When taking into
account all the respondents,
London
West
Midlands
Wales
22.8%
26.1%
4.0%
5.8%
3.4%
2.7%
14.7%
17.0%
16.7%
23.3%
20.8%
9.1%
South East
Suburb
South
West
Hamlet
Rural
21.0%
22.9%
Village
11.9%
15.6%
6
Cathedral
City
Market
Town
3.5%
3.0%
4.5%
7.0%
Big City
Coastal
9.2%
9.6%
LIVING ENVIRONMENT
HOUSING FUTURES
UK HOUSEHOLDS
PROPERTY
TYPES
KEY:
5+
17.7
14.2
24.3
32.9
34.3
34.6
1
STUDIO
1.8
4.5
0.9
0.1
19.3
65.7
43.8
12.0
15.6
8.1
26.2
10.1
18.3
6.0
11.7
6.4
9.0
7.3
2.6
10.3
9.6
8.0
4.2
4.9
1.4
DETACHED
HOUSE
SEMIDETACHED
TERRACED
FLAT
<500
500
-999
*In the report, the term desired refers to those respondents who indicated that they had
intentions of moving in the next five years and does not include the entire survey sample.
18.4
16.3
MAKE UP OF
HOUSEHOLDS
DESIRED*
HOUSING DESCRIPTION
CURRENT
Cottage
140
235
Farmhouse
118
191
Victorian/Georgian
294
186
New build
230
175
Period
102
145
Post-war
373
142
Contemporary
154
142
Bungalow
144
137
Rectory
42
121
Conversion
84
111
Stately home
48
88
Seaside retreat
32
71
Country estate
29
40
Retirement
27
32
Purpose built
67
26
Castle
25
Mansion flat
27
24
Maisonette
46
19
Mews
31
18
Penthouse
17
17
Above a shop
24
Other
129
32
KEY:
10.4
19.4
RENT
OWN
CURRENT
DESIRED
80.6
89.6
29.5
38.8
KEY:
49.3
CURRENT
DESIRED
21.4
15.3
13.4
4.1 3.4
SHARED
LIVING
COUPLE WITH
CHILDREN
COUPLE NO
CHILDREN
SINGLE
PARENT
10.6 7.9
SINGLE
HOUSING FUTURES
12.2%
Pension
top-up
HOME
OWNERSHIP
35.8%
Broadband
connectivity
30.7%
Bigger
home
29.3%
Access to
public
transport
34.3%
11.0%
Close to
family/
friends
Financial
support for
relatives
19.3%
Mobile
coverage
PROPORTION OF INCOME
39.3%
Close to
shops/
amenities
8.2
ON THE MOVE
12.6
13.9
7.9
6.4
%
For the second year in a row,
lifestyle change was the biggest
motivation for moving, followed by
access to shops and amenities.
A new category for the survey this
year was broadband connectivity,
which has shot in as the third
highest motivation and highlights
the desire to be technologically
10
79.4%
49.3%
Lifestyle
change
of respondents
believe they can
achieve their dream
home within the
next five years
4.2
6.2
7.8
23.9
3.4
5-9
32.8
10.2
19.3
KEY
3.5
9.4
KEY
35-39%
>1
10-19
>25%
40-44%
1-2
20-29
25-29%
45-49%
2-3
30+
30-34%
50+
3-4
11
DREAM HOME
HOUSING FUTURES
THE PROPERTY
WISHLIST
6.6%
HI T L I S T
Broadband
connectivity
578
Garage
477
Shed/
outbuildings
FUTURE INTERIORS
368
Off-street
parking
356
Pets
allowed
335
Extra storage
(basement/loft)
20.5%
3.9%
AGA oven
Exposed
brickwork
Traditional
103
Scandi-style
Glamour
2.8%
9.3%
Smeg
fridge
Cinema
room
73
59
French
Loft
55
Retro
24
7
Exotic
165
572
Calm
8.7%
514
498
Bright
Quirky
Wine cellar
155
193
Modern
Kitchen
island
Recycling
services
335
271
Rustic
15.9%
668
Wet room/
rain shower
Roll top
bath
Home gym
13.4%
2.8%
161
Bicycle
storage
Grand
80
Fun
74
121
Cool
Stark
Wet
room
12
13
71
12
LOCAL AMENITIES
2.8%
12.7%
Pizza
oven
ALL IN
THE DETAIL
311
Patio
256
Conservatory
194
Terrace
141
Farmland
On/near water
21.6%
Walled
garden
12.3%
Swimming
pool
Balcony
Roof terrace
Communal
138
136
65
39
11.1%
Vegetable
patch
OUTSIDE
SPACE
When it came to a dream outside item for a new
home, one in five respondents chose a walled
garden, with a near tie for second place between
outdoor sitting room/entertaining terrace and
a swimming pool. As for space requirements, a
small private garden was top of the list, followed
by a large private garden (greater than 1 acre).
THE HEAT IS ON
Housekeeping
159
69
Cleaning
24hr security
Pet services
61
54
38
AMENITIES
The top amenities ranged
from an outstanding country
view to equestrian facilities
474
Country view
Water views
190
Sporting
Equestrian
49.2%
Other
45.7%
95
76
2
ENVIRONMENTAL
38.0%
A desire for energy saving
is clear in the leading
environmental requirements
31.6%
18.5%
15
Insulation
16.1%
13.0%
WORK
334
Large garden
SERVICES
SCHOOLS
491
Small garden
FAMILY/
FRIENDS
Tennis
court
MEDICAL
3.6%
AMENITIES/
CULTURE
Orchard
PUBLIC
TRANSPORT
5.9%
SHOPS
Outdoor
sitting
room
649
Glazing
Energy efficient
Green energy
Natural ventilation
614
478
226
138
HOUSING FUTURES
16
YES
11.4%
88.6%
NO
YES
NO
NO
YES
TRIBES
& HOUSING
SOLUTIONS
15.1%
84.9%
YES We
have elderly
parents for
whom we
need to plan
future care
NO I like
to have my
own space
and a home
I can call
my own
17
15.1%
84.9%
HOUSING FUTURES
NO
YES
38.9%
61.1%
18
TRIBE: MECOS
37.9%
62.1%
YES
TRIBE: MY-SIZERS
NO
NO
YES
52.7%
47.3%
NO
YES
20.3%
79.7%
19
HOUSING FUTURES
NO
YES
8.8%
91.2%
HOUSING SOLUTION: PRIVATE RENTED SECTOR
NO
YES
26.3%
73.7%
20
NO
YES
22.5%
77.5%
TRIBE: TUMBLEWEEDERS
53.0%
47.0%
YES
NO
TRIBE: GLOMADS
21
HOUSING FUTURES
HOUSING FUTURES
STEPHANIE MCMAHON
Head of Research
CONCLUSION
Three centuries ago unprecedented economic and
social change, driven by technological advances,
transformed the UK from a rural society into one of
the worlds first modern industrial countries. Today,
our high streets are in flux, our office environments
are evolving and the way in which we manufacture
and deliver goods is changing. It is our belief that
once again we are in the midst of a demographic
and technological revolution, and that whether you
are a buyer/seller, an investor, a developer, a renter
or a government entity, the belief that our housing
industry will remain as it has for the past 30 years
is unwise. Our creeping trends identify that single
occupied households and alternative family
households are growing, the younger generation
is more open to the idea of renting and those
moving into retirement are seeking more interactive
environments. The impact of these trends inevitably
means that in the future the homes we plan, design,
build and live in must be different.
VANESSA HALE
THOMAS GROUNDS
MITCHELL WALL
22
23