PropertyMoose
Property Moose
Premium Member
What are the main causes of the UK housing crisis? Are fewer homes being built? Are house prices rising faster than wages?
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realdeals
Active Member
Personally I think politicians have starved the market of newbuilds for decades simply to keep property prices moving higher and therefore attract the votes of the general public. Maybe I’m being a little unfair?
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Lee Filkins
Administrator
Staff member
Premium Member
The decrease in average household size is sure to be playing a part.
The 1950s saw an average of 5 people living per property. Today, this has decreased to an average of 2 people per property. A number of factors have driven this, including more people choosing to live alone, as well as increasing divorce rates over time. Fewer people living per property demands increased numbers of properties in the market.
The 1950s saw an average of 5 people living per property. Today, this has decreased to an average of 2 people per property. A number of factors have driven this, including more people choosing to live alone, as well as increasing divorce rates over time. Fewer people living per property demands increased numbers of properties in the market.
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Michelle Barringer
Member
Forum Partner
There is also a lot of land banking - that prevents building and this also adds pressure to the market.
Nicholas Wallwork
Editor-in-Chief
Staff member
Premium Member
Basic supply vs demand in balance is a key factor. Not enough homes are being build so what is there is still rising... councils need to ease up their planning mindset and allow more homes and schemes with slightly smaller unit sizes because that's what the market needs.
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Longterminvestor
Administrator
Every government promises to "rectify the housing crisis" but none of them ever deliver. We also have a more mobile employment market these days which means many people will rent as opposed to buying.
