Basingstoke and Deane Borough Council considers that an empty property is a wasted asset both for an owner and also for someone who is in need of housing. In addition to this, an empty property can have negative impacts on the surrounding area through vandalism, other anti-social behaviour and squatters. This can impact on property prices in the area.
There are significant costs to owners associated with leaving a property empty;
- you are losing out on a regular rental income at a time where there is high demand for properties to rent,
- you are responsible for payment of Council Tax – payable after 6 months empty (instead of the tenant if you have the property let out),
- you are paying higher insurance premiums due to higher risks,
- you may be breaching the terms of any mortgage you have on the property,
- you will suffer deterioration in the fabric of the property,
- you will have to pay for repairs to damage caused by vandals and squatters,
- you will need to heat the property in the colder months or risk frozen pipes and the potential ensuing damage which is likely to be caused,
- And from a social perspective, you are depriving someone else of a possible home whilst it is empty.
Empty homes can also impact on the area around them;
- Build up of rubbish and fly tipping,
- Run down homes and overgrown gardens can have a negative impact on the area as well as being unpleasant to live by,
- Anyone accessing the house (especially children) could be subject to injury; it is worth noting that the owner could be liable for any such claims,
- Empty properties can be a draw to those wishing to participate in illegal or anti-social activities such as drug and alcohol abuse,
- Overgrown gardens and deteriorating vacant properties can harbour vermin and infestations such as wasps.
It is also worth noting that a property which has been empty for a long period of time may well result in a reduction in the eventual sale price and on those located around it.
It is a natural feature of the housing market for properties to fall in and out of occupation. There are normally around 1700 to 1800 homes recorded as being empty in the borough at any one time. However, some of these have been empty for considerable periods.
There are over 5,000 people registered on the council's Housing Register plus their dependants. Building new properties will not alone solve this problem. Therefore, the council is committed to bring as many empty properties back into regular use as possible.
Beyond contacting, negotiating and advising empty home owners to achieve this, there are further routes open to the council:
Empty Dwelling Management Orders
These orders will enable councils to take over management (NOT ownership) of a property which has been left empty for over two years, where the owner has made no attempt to bring it back into use themselves. Please click here for further information on Empty Dwelling Management Orders.
Compulsory Purchase
Compulsory Purchase Orders (CPOs) served on empty properties may be justified where there appears to be no other chance of a suitable property being used as a home.
Enforced Sale
Enforced sale procedures can be used when a debt owed to the local authority has been secured against an empty property. The sale has the combined benefit of recovering the debt and returning the property to use. The council does not acquire the property. It is sold to a third party to clear the outstanding charges against it and the owner receives the balance of the selling price.
How the council can assist
- General advice. Sometimes all a home owner needs is to talk to someone in order to get thoughts and ideas sorted out in their head.
- The Housing and Benefits Business unit can try to open negotiations between parties who have reached a point which seems insurmountable.
- The Planning Department can advise what development options might be open to the owner.
- For the first 6 months after a property is recorded as being empty with the Council Tax department it is subject to exemption from Council Tax.
- VAT reduction to 5% can be granted to those properties which have been empty for over 3 years. Those which have been empty for 10 years or longer can be given a 0% VAT rate.
- Limited, discretional grants are available to home owners who wish to perform repairs to their empty home so that they can move in and live at the property.
- The Private Sector Leasing Scheme can offer owners a way to bring empty homes back into use where lack of funds is stopping owners from doing so. Through a partnership between the council and an Registered Social Landlord a property can be bought up to a standard fit for letting, managed by the RSL and then let out. The resulting income then goes towards the cost of the repairs and management of the property thus paying off the debt. There is no interest or fee for the ‘loan’ of the funds. Once the debt has been covered the owner has the options of keeping the existing letting arrangement and receiving a lump sum every month the property is let or making other letting arrangements, moving into or selling the home.
Click here for advice on how to go about renting your property
Click here for advice on how to go about selling an empty property
If you are either an owner looking for advice on getting your property back into use or how to go about selling your empty property, a prospective buyer, or if you would like to report an empty property within the borough, please contact:
Empty Homes Officer
Basingstoke and Deane Borough Council
Civic Offices
London Road
Basingstoke
Hampshire
RG21 4AH
Direct Telephone Number: 01256 845331
You can also contact the Empty Homes Officer via email by clicking here: housing@basingstoke.gov.uk