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The government, house builders, and house prices?
manhattan
Posts: 1,461 Forumite
Do you think that the government and the big house builders are using tactics to keep the housing market stable?
Do the government want people to feel that they are the reason for home owners new found wealth and equity in property, and focus on keeping the market steady, boyant and on the up to win voters and stay in power?
Do the big house builders stall building new properties on land owned by them, as not to oversupply the housing market and cause a downward spiral in house prices?
Do the government want people to feel that they are the reason for home owners new found wealth and equity in property, and focus on keeping the market steady, boyant and on the up to win voters and stay in power?
Do the big house builders stall building new properties on land owned by them, as not to oversupply the housing market and cause a downward spiral in house prices?
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Comments
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It is in the interest of the Government to keep the bubble going as long as they can by restricting building of new housing. As local councils have almost no autonomy these days HM Gvt could easily force LCs to grant more planning permission. Why don't they? Because they gain from increased stamp and IHT payments as well as people feeling rich because the value of their house has increased.
I don't think builders are restricting supply. There are too many of them for that to be possible - you'd need to have a small number of builders with big barriers to entering the market for that to be possible.0
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