This timely book addresses key challenges faced by policy makers
and the house-building industry in a post-credit crunch world. It
examines the implications for households, the housing market, the
economy, as well as for government's policy choices.
Challenges of the Housing Economy: an international
perspective brings together experts from around the world to
examine recent housing market trends. The contributions reveal
common long-term trends in housing markets worldwide. Despite
differences in supply conditions and the role of planning, there is
a trend toward rising house prices that has created significant
barriers to home ownership for young households while increasing
the wealth of older generations. The financial crisis had a
differential impact on housing markets but in many countries where
mortgage finance became severely constrained, house prices fell and
there was a dramatic fall in housing construction. The falls in
house prices in these countries have ostensibly improved
affordability but the housing markets have been dominated by the
lowering of loan to values applicable to new mortgages which has
further raised the hurdles to potential first-time purchasers.
At the same time as young households are increasingly rationed
out of owner-occupation, public sector expenditure cut-backs in
many countries result in limited new social housing. Instead, value
for money imperatives will mean new funding models for affordable
housing that require greater use of public-private partnerships.
The private rented sector could potentially meet the demand for the
new generation of long-term renters. However, there are doubts - in
the UK at least - that this sector will be able to expand
significantly or provide an appropriate type and standard of
housing.
This is an essential advanced text for students and researchers
of land economy and land management; property and real estate;
housing policy; and urban studies.
