FOR two years, Richard Horn has been peering through estate agent windows.

Totting up his savings, sifting through reams of finance advice, watching the housing market rise and rise, owning a home was an impossible dream for this 26-year-old electronics engineer pictured above.

He earns what he dubs a "decent professional person's salary", - but has lived in rented accommodation since moving to Southampton as a graduate more than four years ago.

But yesterday, Richard and hundreds of people like him received a double boost up towards the elusive first rung of the property ladder.

Within just a few hours, two key announcements had been made, which should transform life for hundreds of young people, key workers and families struggling to buy their first home.

It was announced that thousands of new homes would be built in Hampshire.

A vast new town could take shape between Southampton and Portsmouth to cope with a population set to explode by more than a million by 2028.

Leaflets will be sent out to every Hampshire resident asking for their views on plans to build between 25,500 and 32,000 new homes in the south-east each year.

Hours later, Deputy Prime Minister John Prescott launched his five-year plan to create more affordable homes.

Some 60,000 starter homes are to be built on government land, to be sold for as little as £50,000.

Many are likely to be in Hampshire, where greenfield land pinpointed for housing retails at a staggering £2.3m an acre, compared to £10,000 an acre for farmland.

South Hampshire, and in particular Southampton, is also in line for a share of £40m set aside to build roads, parks, hospitals and schools around new estates.

The plans have been heralded as a new era of the housing market.

For Richard, currently living in Inner Avenue, Southampton, it's a dot of light at the end of the tunnel.

"In the last six months, the housing market has stopped accelerating but property hasn't become noticeably affordable.

"When people say prices are dropping, they mean the expensive houses. That's affecting the statistics, but I don't think two-bedroom semis are coming down at all."

"But there's still hope that the lower end of the market will drop. Maybe all this extra building will help. It's still in the game-plan to buy my own place."

In three years up to 2004, the average house price in the south-east has rocketed by a staggering 43 per cent, making it the most expensive place to live outside London.

In Hampshire the average house price is now £212,744 - ten per cent higher than in 2003.

Prospective buyers like Richard need a salary of at least £31,800 to buy a flat and £36,000 for a terraced house - but the average income in the city is only £25,399.

For key workers and nearly 16,000 people on the souh-east housing waiting list, the situation is no better.

Reports point towards a dire lack of affordable housing across southern England.

The number of families on council house waiting lists had risen by almost a third since 1999 - in Eastleigh, the rise was 285 per cent and in Southampton, 181 per cent.

But yesterday the government pledged to tackle the backlog.

John Prescott promised to build 10,000 new social homes each year by 2008, a 50 per cent increase on current rates.

Up to 80,000 first-time buyers will be helped by the construction of new low-cost starter homes on public land, including 100 former NHS sites.

And Hampshire County Council announced plans to develop up to 500 new homes over the next four years.

Chris Francis, director of development and property at Testway Housing Association, which operates the housing register in Romsey, said: "There is a recognition at last that a range of solutions needs to be identified to deal with the housing problem.

"This is about looking at the whole way that housing is delivered.

"We think it's very encouraging and exciting."

LARGEST EVER CONSULTATION ON HAMPSHIRE'S FUTURE WILL HEAR YOUR CONCERNS:

THE largest consultation ever carried out in Hampshire has just begun.

Over the coming 12 weeks more than three million households across the south-east will receive a leaflet through the door asking for their input on the region's development.

The questionnaire will ask people how they want to see a balance achieved between homes, jobs, congestion and the countryside over the next 20 years.

It all comes as the South East England Regional Assembly (SEERA) launches its draft regional plan.

And every citizen is being asked to urged to read the pamphlet carefully and respond.

SEERA chairman, Nick Skellet, said: "This is the most extensive consultation on regional planning ever undertaken in England. We want to cover all aspects of growth not just housing and need the public's involvement."

The draft plan will affect housing, transport, energy, waste and health and will form the framework for councils to prepare their local plans.

It all ties in with the Office of the Deputy Prime Minister's (ODPM) bid to build more homes to cope with the expected increase in the south's population by 900,000 in the next 20 years.

John Prescott's department predicts that between 25,500 and 32,000 new homes will have to be built a year or as many as 640,000 by 2026 in order to cope with the pressure.

The draft local plan has already sparked controversy with Hampshire County Councillor Jonathan Glen claiming the county could "overheat" and saying there is a lack of government funding and direction.

But Keith House, leader of Eastleigh Borough Council, said: "There has been too much bad development in the past. This is an opportunity for people to think about that and make important changes for the future."

The consultation results will be published in the summer.

Among the questions being asked are:

If we define quality of life as how you feel overall about your life, including your standard of living, your surroundings, friendships and how you feel day to day, how would you rate your quality of life?

How would you rate the following in your community; housing provision, community facilities, bus and rail services, traffic congestion, job opportunities, health services, countryside protection, rubbish and pollution control and affordable housing?

Over the past decade the south east has had a stronger economy than the rest of the country, with lower unemployment. This has increased overall wealth but also increased traffic and house prices. How much emphasis should be given to economic development in future?

Last year 28,000 houses were built in the south-east. SEERA has three options for the future, 25,500, 28,000 or 32,000 homes a year. Which would you support?

More housing sites will need to be found. Building on greenfield sites means less green space. Should housing be built in towns and cities? An equal amount on greenfield sites and in cities or towns? Or mainly on greenfield sites?

Where should new homes be built? In existing built-up areas? New suburbs? Existing villages? Or in new towns and villages?