They all need homes
Telegraph: Latest ONS immigration figures reveal a record number of EU migrants came to live in Britain in 2016
As I have said ad-infinutum, this pause between EU and Brexit will result in countless people front-running border controls. Almost 600k immigrants the past year, with net migration at over 335k, with illegal or undocumented or undeclared immigration likely being double the 600k level at maybe 1.2m. Many heading to London. This is why affordability in London in particular will plummet and prices will likely start moving into a hyperinflation level if action is not taken soon. When you compare it with annual house building starts to June of just 144,280, I think we start to see the problem coming into focus. This growth simply is not being planned for and if you knew the cost of satisfying demand for homes and infrastructure, you would be protesting on the streets.
Government creates the rigged housing market
UK property to fall 50%?
Imagine if the profit from the uplift in value of land from granting planning permission was spent on building council housing - Job done better still tax all land value away. But currently the profits are obscene and this is the real force of monopoly stopping new houses being built.
Autumn Budget Statement
Business Insider: The Chancellor is planning a Â£23 billion spending bonanza on housing, technology, and transport
By committing a few billion pounds towards house building, the chancellor has implicitly acknowledged that we have a problem. IMO the targets of 100,000 new homes in expensive areas and 40,000 cheaper homes will not be enough to correct our housing market mess but at least it's a move in the right direction.
Watching FOXT and CWD shares take a hammering with glee
Mass immigration front-running border controls hoovering up property
Daily Mail: Call to rescue young buyers as homes for sale fall to 40-year low: Brexit, stamp duty and buy-to-let tax hike agent's books
I have called this for a while. Anybody from the EU who planned to move to Britain in the next decade who can now is moving, so as to front-run hard Brexit and future border controls. There is a literal feeding frenzy right now. Because these are new entrants to the market, new homes cannot keep up and so logically, the number of homes for sale is plummeting. This is also being multiplied by folk from USA, Canada, etc. racing in, front-running future trade deals and benefiting from a falling Sterling to get a foot-hold. Factors cited by the Mail are exacerbating this, but are not the main factors. The end result could be explosive house price inflation, driven also by the fall. Tracking prices it seems that the post Brexit "correction" was a phase transition to more than 10% growth.
What would housebuilders say?
Old article but worth another look. It suggests: Set up a national land bank which acquires land cheaply (without planning permission, but with potential for development) and holds it for future release for housing and commercial development. The taxpayer benefits from the difference between the value of land without and with planning permission. Then, instead of concentrating on government debt the Chancellor could focus on debt minus assets, and the latter, consisting of saleable land and public infrastructure, would be huge under this scheme. The benefits flowing from these and suggested ancillary schemes would provide much more land for housing and bring down its cost.
Usual nonsense from the Residential Landlords Association
I actually submitted evidence about this to a Government paper on the Private Rental Sector a few years ago. Some of the other evidence was very similar to this article - Kids having to move every six months at the whim of the Landlords. The Residential Landlords Association nonsense that I refer to is that if life is made more difficult for them there will be a shortage of Rental Properties. If there is a shortage of anything it is of affordable properties to buy. My first house, bought in 1986 was an almost new two bedroom "Starter House" in a road of about 30 similar houses. They were all owner occupied. Nowadays, most have probably been bought by Landlords.