What has most made houses unaffordable for many is having made these artificially affordable for many.

Sir, John Dizard quotes and comments Robert Dietz, chief economist at the National Association of Home Builders with: “Affordability is at a 10-year low.” It is not just the tariff-driven double-digit rise in the cost of wood. “We have suffered labour shortages for the past [few]years. Now the builders say that [land approved for building] is low.” “Bad news for housebuilding recovery as America loses its free lunch from world”, October 13.

That might bear some influence bit let us be very clear, what has most made houses unaffordable for many has been all that preferential financing to make house purchases affordable to many, which turned homes into investment assets and increased the prices of houses and the wealth of those who own houses.

For example, should banks have to hold the same capital against “safe” residential mortgages that they need to hold against loans to “risky” entrepreneurs house prices would be much lower...(PS. But there surely would be more jobs to help allow the purchase of houses at its lower prices)

Sir, a monstrous real estate crisis is being fabricated by regulators who can’t come to grips with the simple fact of life that if you blow too much credit into a market, you will create a bubble that, sooner or later, will explode L

@PerKurowski