What does the cost of land have to do with the housing emergency? Well, quite a lot as it happens!
For many years, land prices and house prices have been closely linked. For many investors, land is now a better investment than other forms of asset, especially given the recent boom in house prices. You may have heard the quote attributed to economist, Mark Twain – “Buy land, they aren’t making it anymore!” – well, herein lies the problem.
The way in which we view land in the UK is mainly focussed on how much money it is worth, rather than its worth to communities or in how it can help alleviate the pressure we all feel as a result of the housing emergency. People buying land as a speculative investment decreases its availability and therefore drives the price up. This cost is then passed on to people in the form of increased cost for houses, to buy and rent.
Tackling the issue of land values and how it impacts on and helps to drive the housing emergency is far from straightforward. However, without it we will never truly fix the root of the issue – so join us in the Fight For Home, so together we can solve it once and for all.
