The organisation's Director of Housing and Regeneration also warned that growing waiting lists for social housing, fuelled by problems with affordability, were a "primary concern".
However, there was good news, with a scheme of six units on track for the Mountjoy/Brocagh area, and significant progress with an initiative to develop vacant commercial space within Dungannon town centre.
The council was also told that experienced staff in the Dungannon Housing Executive Office, who deal with rent account matters and processing of Housing Benefit, will be relocated in the near future to McAllister House in Omagh.
The Dungannon office, however, will continue to deliver housing, homelessness, estate management and response maintenance services.

Impact

Director of Housing and Regeneration, Colm McCaughley, explained the impact of increasing waiting lists for social housing.
"Waiting list trends for social housing show an increasing number of applicants registered on the waiting list over the past five years and a decreasing number of relets from social stock", said Mr McCaughley.
"At the end of 2007, the number of applicants on the waiting list was 38,346, an increase of over 4,000 (11.6%) on the previous year. The number in housing stress also increased from 18,701 to 20,695.
"One area of particular concern is that the number of elderly people as a proportion of the population is increasing and this is reflected in our waiting list."

Challenges

Mr McCaughley acknowledged that the Housing Executive faces some considerable challenges if it is to meet its objectives in the coming years, adding: "The assurances by the Minister for Social Development, Margaret Ritchie MLA, that housing would remain her priority and that the Housing Executive would continue to be Northern Ireland's strategic housing authority will be central to success."
The housing chief continued:
"There is good news. Considerable progress has been made in improving the condition of Housing Executive stock, with 75% meeting the Decent Homes Standard. Nevertheless, we want to continue this progress and a significant amount of improvement and replacement work remains to be carried out. We will continue with a programme of activity to realise capital from surplus assets, but with a turbulent housing and land market this may not be easy. It will therefore be essential to continue to put the case for additional funding to deliver all of our programmes and hopefully "in-year bids" will be successful."
Referring to this year's District Housing Plan for Dungannon, Eamonn McKeown, the South Area Manager, said:
"As in other parts of Northern Ireland, the rapid increase in house prices have created an acute affordability problem in the Dungannon and South Tyrone Borough.

Affordability

"Affordability is about more than just house prices. The relationship between prices and disposable income is also a key factor. In Dungannon the average affordable house price increased by £145,000 (322%) between 2001 and 2007, while median income increased by only £317 (1.8%). Between 2001 and 2007 the proportion of 'affordable' properties dropped from 60% to 0%."
In addition, the meeting heard that the Dungannon District Housing Plan includes an annual budget of around £4 million, with £1.111m set aside for improvement work; £0.640m for planned maintenance; £0.721m for response maintenance; and £1.535m for private sector grants.
As of December 2007, there were some 825 applicants on the Housing Executive waiting list, with 577 in housing stress.

Homeless

Of those 529 cases which registered as homeless, 222 were awarded full duty status.
For 2007/08, nine units were completed - Dungannon & District Housing Association - (6), Aughnacloy (2) and Castlecaulfield (1).
Five general needs schemes were on site as at the end of March this year. Details of the schemes as follows:
- 10 units, Thomas Street, Dungannon, by Dungannon & District Housing Association
- 29 units, Millview Manor, Coalisland, by Dungannon & District Housing Association
- 1 unit, Dunlea Vale, Dungannon, by Dungannon & District Housing Association
- 16 units, Orchard Park, Aughnacloy, by Dungannon & District Housing Association
- 5 units, Dungannon Street, Moy, by South Ulster Housing Association
A total of 282 units of general needs housing are programmed for Dungannon District over the next year.
Forty-one adaptations were carried out during the last year, including 19 change of heating, four extensions, three lifts installed, 15 showers installed, with a total expenditure of £228,000.
Improvement schemes are planned for 37 dwellings within the next year, with maintenance at 235 dwellings.