To avert the final stage of the housing crash the Tories have brought in their Help to Buy scheme.
With the latest housing bubble only being propped up by the buy-to-let buyers, levers are being pulled to edge up house prices by other means, supporting the market and, most importantly, belief in the market.
Because if faith is lost, prices will drop, levelling out at an affordable level (surely what all pro-free-market Tories believe in). Although this seems sensible, it goes against their dogma to have a falling market.
They could build council houses and fund private schemes but that would cost real money and go against their neoliberal tendencies: the private sector must not be interfered with, eventually allocating resources efficiently etc.
So instead they are lending to sub-prime borrowers for over priced houses as we slide into recession.
That sounds familiar.
With the latest housing bubble only being propped up by the buy-to-let buyers, levers are being pulled to edge up house prices by other means, supporting the market and, most importantly, belief in the market.
Because if faith is lost, prices will drop, levelling out at an affordable level (surely what all pro-free-market Tories believe in). Although this seems sensible, it goes against their dogma to have a falling market.
They could build council houses and fund private schemes but that would cost real money and go against their neoliberal tendencies: the private sector must not be interfered with, eventually allocating resources efficiently etc.
So instead they are lending to sub-prime borrowers for over priced houses as we slide into recession.
That sounds familiar.