The shortage of properties in the UK has always been a major topic, however local authorities consistently refuse permission for new developments, yet claim they are doing the opposite. The reality is the need for AFFORDABLE housing is the real issue.
You only need to look at the amount of properties available in the private sector to know we don’t have a major shortage, it’s the affordability which is the issue. The tightening of lending criteria has also had a major effect on the ability to purchase your own home.
The demand for properties in the UK is a lot higher than the supply and it doesn’t seem to be getting any better. This is driving the prices of properties around the UK to extortionate amounts, especially in London. The prices for homes in the UK will not start to drop until more are built.
The government claims that the actual cause of unaffordable housing is down to the lack of new builds being built in the UK. On the other hand, the cost of building a new house reflects on the small amount of them being built. Building supplies and the labour itself is becoming increasingly more expensive as the demand for homes in the UK rises.
Know your area!
- The demand for new builds in the UK is a lot higher than the supply.
- Property speculation is driving the price of properties around the UK sky high.
- The tightening of lending criteria has also had a major effect on the ability to purchase your own home.
"The problem of inflated prices lies in property speculation. That’s what we need to clamp down on."
Quote credit: https://www.theguardian.com/