The humble bungalow has found itself, unexpectedly, at the heart of a national debate about the future of decent housing for the elderly.
That’s because, slowly and quietly, the country’s housing mix has changed. Almost no new bungalows are being built.
About 1%-2% of all new building completions are bungalows, according to figures from the National House Building Council (NHBC), compared to 11% in 1990. There were 26,959 new house registrations in the first quarter of 2026, of which only 386 were bungalows, the NHBC said.
This is not a demand problem. Lack of long-term strategic housing policy
As the UK population continues to grow, it would seem fair and reasonable to build more bungalows, not fewer. And yet the opposite happens, when supply and demand seem to pull in opposite directions.
Why are we building so few bungalows? Are we prioritizing the profits of engineers over the ability of retirees to live safely and comfortably? Or should we look beyond bungalows altogether and ask more important questions about what ideal retirement housing looks like?
The root of the problem
Developers are certainly to blame for the lack of new bungalows. Since there is so much paid space, there is a lot of money to be made building up – so that’s what they do.
Perhaps most tellingly, none of the big five developers come close Mortgage Strategy – Barrett Homes, Bellway, Persimmon, Taylor Wimpey and Vistry – will publicly respond to questions about the lack of single-storey housing.
NHBC director of strategy Daniel Pearce says: “There has been a lot of talk about the ‘death of the bungalow’.
We have a housing crisis and there is less land. One has to accept that there will be few bungalows
HomeOwners Alliance chief executive Paula Higgins says: “This is not a mass demand issue.
“Bungalows are less attractive to developers because they use more land to accommodate fewer houses, while the planning system favors high-density development. In the same area, a homebuilder can often deliver more units, and potentially make more profit, by building higher than one story.”
A little annoyance for developers
But the developers should not be taken as money-hungry pantomime hooligans of this piece. Yes, money is the main reason for the lack of new bungalows. But developers can cite other, more positive reasons, many of which are beyond their control.
Chief executive of the Home Builders Federation, Neil Jefferson, says: “Housebuilders are under pressure from national and local policy, which encourages the building of multi-occupancy housing.
“And it is often not easy to build bungalows on the site. Bungalows use more land per room than houses or apartments, but the price of the land is the same, as well as the tax costs and the policy imposed on the area. As the national and local government has put more work into new housing schemes, bungalows have proved more difficult to deliver.”
There is a shortage of suitable housing for the elderly, and too many are living in homes that will not help them age well.
Another developer official, who wished to remain anonymous, said tax costs and red tape made building a bungalow on many sites “absolutely impossible”.
As well as paying tax on completed homes, property developers must deliver affordable housing, contribute to improving local infrastructure, meet biodiversity targets, install car chargers in new homes and, from March 2027, meet Future Homes and Buildings standards, which will require green technologies such as heat pumps to be installed as standard.
Additionally, those selling land to developers know the value of what they are selling and often bargain hard; one that would leave little room to profit by building more bungalows.
Age UK housing policy manager Lisabel Miles says: “We have a huge housing shortage and we really need the site to have fewer bungalows than family homes.
Professional retirement housing needs to be transparent, affordable and well-regulated
“Older people really like bungalows; they like them, and the ones that are there are needed. But we have a housing problem and there is limited space available to build on. One has to accept that there will be fewer bungalows.”
Other – fit for purpose?
Instead of buying a bungalow, many retirees are looking at other options, such as park houses or retirement apartments, which have living spaces that are usually on one floor.
But even these are not without problems. Many retirement properties have high service costs, depreciation problems and a limited resale market.
Higgins says: “Aged villages and specialist homes can play an important role, particularly where they provide support, safety, care and community.
“Many older homeowners still want independence, their own front doors, outdoor space and the ability to live close to friends, neighbors and familiar amenities. Retirement homes also need to be transparent, affordable and well managed, especially in terms of service costs, exit and resale costs, in order to gain public trust.”
We need a wider range of housing, including those that are less mobile
Renting is becoming more common among older buyers, and not just because of the lack of bungalows. However, it is not suitable for many in their later years. Disabled and elderly tenants in particular face increasing challenges in finding suitable accommodation, according to Propertymark.
A professional body of estate and letting agents has warned that the supply of bungalows and retirement homes is failing to keep pace with the rapid growth of older homes across the UK, putting more pressure on elderly tenants, disabled tenants and those looking to downsize. Around 867,000 households are headed by someone aged 55 or over who live in rented accommodation in England, says Propertymark.
Sitting down
Another option for retirees who are struggling to buy a bungalow is to simply live in a larger home that suited them in their younger years but is not fit for purpose as they get older. Indeed, 90% of older people live in standard homes, according to Age UK’s Late Movers report from October 2025.
Not only can ‘aging in place’ cause discomfort and stress but it leaves fewer homes on the market for smaller families.
We need bungalows, accessible homes, quality retirement homes and better downsizing options
Report ofLate Movers says: “There is a lack of suitable housing for older people, and too many live in homes that will not help them age well.
For many retirees, owning a bungalow is still king.
Higgins says: “The demand for bungalows is clearly there. Our research found that 38% of homeowners aged 55-plus would like to buy a bungalow for their next move, making it the most popular property type for this group. But supply has collapsed.”
Outside the bungalow
But is it right to focus too much on bungalows, or should the conversation about retirement homes be broader?
Some experts say that the focus on ‘many bungalows’ risks ignoring deeper questions about what ideal housing for the elderly looks like. Housing and accessibility experts argue that the UK should focus on accessibility – building flexible two-storey homes with the ability to fit into boarding and walking facilities, and accessible flats close to useful transport and services.
Tax charges and red tape make building a bungalow on many sites almost impossible
Says Miles: “When people talk about retirement homes, they think of them as seniors—but seniors don’t see it that way.” When you’re ready to move, you’re usually moving, so what you’ll usually see is a lot of people moving in their 50s to 70s.
“Under 75, people are ready to move; over 75, they’re not, usually. So you need a home that works for someone who has a full and active life, as well as when they’re getting older. I think we need more housing, including for those who haven’t moved much.”
Higgins agrees, saying: “We need bungalows, affordable homes, quality retirement homes and better retirement options. Bungalow restoration should be part of a wider plan to make the housing market work better for older people – and everyone waiting for family homes.”
Builders, faced with rising regulatory and land costs, are focusing more on three- and four-bedroom houses.
The debate surrounding bungalows is about more than bricks and mortar. As Britain’s population grows, the lack of suitable housing is a risk that leaves millions of older people trapped in homes that no longer meet their needs. While developers face real financial and planning pressures, the collapse of bungalow construction highlights a broader failure to plan for an aging community.
Seniors need choices: accessible homes, flexible environments, affordable retirement housing and communities designed for later life. Without a long-term strategy, the housing market will continue to fail both retirees seeking independence and young families waiting to get on the ladder.
This article appeared in the June 2026 issue of Mortgage Strategy.
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