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Empty properties cost social housing sector £1.6bn in 2023-24, research shows
The social housing sector spent more than £1bn in 2023-24 on empty properties, analysis from Housemark has revealed.
Around 300,000 social housing properties became void in 2023-24. More than £1.1bn was spent on void repairs alone, with a further £220m going towards placing new tenants.
Overall the sector spent up to £1.6bn in repairs, lettings and lost rent, the data and insight firm said.
The data comes from Housemark’s most recent Voids Club research, which assesses performance figures and survey responses from 45 housing providers.
Housemark said empty properties were creating “significant financial and operational challenges” and showed there was an “urgent need for action”.
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The average re-let times for all empty properties is 74 days, while for standard voids that do not need major repairs, the average is nearer 50 days. Five years ago, the average was below 30 days, Housemark said.
More properties are being left in poor condition at the end of tenancies due to “overstretched teams and resource constraints in tenancy management”, with more extensive repairs required.
Half of the landlords are still carrying out void repairs during new tenancies, but the remaining half said they face challenges in completing works before letting.
Jonathan Cox, chief data officer at Housemark, said: “Voids management is a complex but crucial area for social housing providers, impacting not just the bottom line but also the ability to provide much-needed homes for tenants.”
The research also found opportunities for cost savings, such as “robust end-of-tenancy processes and proactive management” that reduce the amount of time properties are left vacant.
Housemark said some landlords were prioritising tenant engagement during the notice period to address the issue.
A third of the landlords surveyed use pre-tenancy checks for individual households.
Almost half of the landlords surveyed visit outgoing tenants before they move out, which helps to reduce issues at the end of the tenancy.
Mr Cox added: “Our research highlights the scale of the financial burden, but more importantly, it sheds light on the practical steps landlords can take to improve efficiency and re-let properties faster.”
The research also found variation in how landlords manage voids, with 10% using housing officers and 11% relying on hybrid teams that work across voids and lettings.
Separate analysis from the firm revealed that 60% of landlords have reported feeling they are “on the right track” to improving customer experience.
Research by Housemark, shared exclusively with Inside Housing earlier this year, also found that just over 70% of landlords increased resources for specialist anti-social behaviour teams last year.
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