Topic: | Re:Mad property prices | |
Posted by: | Chris Martin | |
Date/Time: | 08/08/14 16:40:00 |
There's no way that house-building can catch up with the pent-up demand hence the high prices. The reason there is such a problem now is quite simple - an existing population that is living longer and net migration of c5m (on official records - the actual number is likely much higher) under the last government. For all their rhetoric, less social housing was built under the last Labour government than the conservative one before it - Labour basically created the population pressure that has led to the current "cost of living crisis". We now have a need for around 2m properties (that's about 3 times as many homes as they are in birmingham) and with the increase in the birth rate due to recent migrants (more than 50% of children are now born to parents who themselves were born outside of the UK), we need to add another 400,000 or so homes on top. So basically unless the country supports building 13 cities the size of Birmingham over the next 10 years the problem will continue to get worse. |