It is becoming increasingly difficult for people to buy their first home. I have been told that it is because not enough houses are being built but surely it cannot be just that alone...............can it??
2007-08-13 03:07:26 · 5 answers · asked by Kimberley A 2 in Society & Culture ➔ Other - Society & Culture
Actually housing prices are dropping dramatically and it's the people selling their house who are being hurt. Maybe in your area prices are up but nation-wide, they are in freefall.
2007-08-13 03:13:41 · answer #1 · answered by One Voice In The Day Rings True 5 · 0⤊ 0⤋
Supply and demand - it's basic economics. There's only so many houses out there, and there's always someone with enough money to buy one. If they're willing to buy it for a certain price, all the other comparable houses will get priced near that point, too.
And the better the location, the higher the price. People will pay more for a house that's convenient to work, shopping, schools, etc, and pay less for one in an inconvenient or dangerous neighborhood.
2007-08-13 03:15:07 · answer #2 · answered by Ralfcoder 7 · 1⤊ 0⤋
I subscribe to a free email daily, and they suggested that estate agents are directly responsible for inflating prices.
They have absolutely no qualifications, and ANYONE can set up an estate business.
They have the cheek to ask for 1.5% of the value of the property, not bad on a house costing £500,000
A friend of mine offered 0.4 % and it was accepted!!!!!!!
2007-08-13 03:18:29 · answer #3 · answered by xenon 6 · 0⤊ 0⤋
The answer is so complicated, follow the link below. It is a good read and easy to understand. Building restrictions do play a large part but there are many other factors.
2007-08-13 03:23:59 · answer #4 · answered by Anonymous · 0⤊ 0⤋
Stupid, greedy people willing to pay the gawd awful prices!
2007-08-13 10:44:05 · answer #5 · answered by AmericanPatriot 6 · 0⤊ 0⤋