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RichM

Boost To Affordable Housing

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http://www.telegraph.co.uk/money/main.jhtm...nhousing110.xml

This paragraph worried me:

Under current Government and local authority policy, the private sector can invest in the supply of social housing. However, investment returns are normally capped through low rents and difficulties around selling on the investment. Private investors are urging the Government to link rents in the social housing sector to a recognised index such as the Retail Price Index or the house price index so investors can be confident of what returns they will get. They also want investors to be able to trade their investments, moving in and out of the housing market and realising profits.

Most markets work in the long run to deliver low prices. But in housing, prices should also be rocketing, whether it be capital or yield.

How this is in everyone's best interests I have no idea.

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