The Independent newspaper recently published in its online version with the headline:
“More than 8 million people in England are living in unaffordable, insecure or unsuitable homes, the report says.”
If accurate, this predicament is unacceptable and in urgent need of remedying with the help of our government.
There have been many claims of similar housing crises over past decades in the media. These claims suggest that all is very far from well in the housing sector. as the old adage goes; there’s no smoke without fire!
This is why over decades past and as I’m now a retired valuation surveyor, I have views on the reasons for these failings, particularly as they adversely affect poorer communities.
Because of this I’ve devised a new and better way to deal with the currently unaffordable level of house prices and associated housing issues because purchase prices currently being claimed as being ‘affordable’ are very clearly not really affordable at all.
Once you take a look into this, it should become crystal clear that it is the poorer buyers whom are actually propping up the house prices for the rest of the home owners!
Why is this so? Because it is they who must borrow astronomical sums of money to them, by mortgaging the very properties which they need to live in, so that the present very high prices prevailing in a so-called open marketplace may be maintained. One has to ask, who gains most from them doing this?
Firstly, it is those fortunate enough to already have substantial property assets and who enjoy a healthy and almost guaranteed rise in the capital values of their relatively extensive holdings. Secondly, it is the banks and financial organisations that gain from earning interest on the substantial loans which they can thus arrange. Profits derived from these activities depend on the ability of those on this side of the equation to be able to liquidate these large financial rewards each time they sell these assets, without having to do much to earn the extremely large profits involved.
Borrowers today by comparison, have increasing job insecurity issues, especially borrowers on the lower rungs of the property ladder who have to commit to high mortgages by taking on burdensome and increasingly risky and long-term borrowings. These families and individuals are the ones who need relief, by way of a lessening of their large and onerous borrowing commitments they are being forced into making.
It is time the whole rigged house-selling regime, which is being played out using the historic role of estate agency, is re-balanced, such that those wishing to make money from owning property are seen as causing excessive un-affordability issues being experienced by an increasing number of poorer, aspiring to become, home owners in this country.
Is there a political party in the land that might contemplate such a re-think? It rather seems the jury is still out on that one!
Those requiring housing should rightly expect to depend upon an efficient and fully functional housing marketplace in order to move house and should expect be able to reasonably afford to buy, or alternatively rent, their next housing accommodation.
Judging by the recent dramatic slowdown of sales transactions as shown in the current sales completion statistics, efficient agency services are simply not available at present.
For anyone interested in the best and only way to correct this unacceptable shortcoming, please read & study the proposals within: The House Price Virtuoso Solution starting at the following link.
The House Price Virtuoso Solution (otherwise known as The Hendry Solution)
How to Improve the Housing Markets in England and Wales.
The background of this, leading to the logically deduced conclusion arrived at, starts at the following link:
As author I would be happy to engage in online discussions about the technicalities and/or the new strategies necessary in order to reach perfection in the operation of all local housing markets in England and Wales. This web site sets out how these housing markets may be improved for the benefit of owner-occupiers, private tenants and in fact, everyone using all forms of housing everywhere in our country.
Posted by: Peter Hendry, Housing Valuation Consultant
Author:– The House Price Virtuoso Solution