Councils across the UK are struggling with the pressure of providing housing. It’s especially tricky in areas where private rents are out of reach for many. Kingston Council is one that is having a difficult time and spending a large amount on temporary accommodation. However, they are looking at other strategies that would be more cost effective and stable. We want to have a closer look at one here. Then, if you need help with investment properties in Kingston upon Thames or other areas, we’re happy to help.

Increasing housing supplies

Back in July 2024 Kingston Council gave approval for a proposal to buy 50 homes to use as temporary accommodation for residents at risk of homelessness. The plan was to spend around £20m for the purchases, completing the programme by the end of 2025.

The latest strategy is similar. In November the council gave approval for plans to borrow £63.1m to allow the purchase of 150 more homes. Interestingly, these properties will also include homes that were previously council housing but were sold under Right to Buy.

The most notable thing here is the new strategy will help the council to improve their finances by reducing how much they spend on temporary accommodation. The bills for hotels, B&Bs, and other short term emergency accommodation have risen from £9.3m to £12.1m in just two years. Additionally, the move will provide more safe, secure homes for residents. Speak to us about investment properties in Kingston upon Thames.

An interesting detail is the arrangements. Kingston Council will borrow the money to purchase the homes and then lease them to a housing company they plan to establish. In turn, the company will lease them to tenants, setting rents at the local housing allowance rate to ensure locals get as much support as possible.

What happens now?

Kingston Council is planning to establish the housing company at the start of this year. They will then begin purchasing appropriate properties. After sales are complete, there will be a period of time to do upgrades and ensure the homes are up to standard. The goal is to begin placing tenants in them in Q1 2027.

Financially, the strategy could be fantastic for the council. The estimate is it will be sustainable in the second year because rents will be covering the costs. Crucially, the forecast is it could save £278m on spending on temporary accommodation in the next 40 years.

Talk to us about investment properties in Kingston upon Thames

Finefair Ltd is the ideal company to work with if you have any kind of investment property in London. We can provide exceptional solutions for houses, flats, apartments, and more. Whether it is a small portfolio or a large one including blocks or homes on estates, we work with it. Crucially, we can arrange guaranteed rent, management, and more. We even have experience working with councils across London.

So, if you have investment properties in Kingston upon Thames or other locations, talk to us. We’re flexible and happy to look at all kinds of strategies to see how we can get the best ROI for you.