Land Supply chestnut rolled out again

Karl FitzgeraldCommentaryLeave a Comment

Creative Commons License photo credit: _temaki_

Buyers look for existing houses as land prices soar rolls out all the old chestnuts:

Economic forecaster BIS Shrapnel says the demand for newly built houses is dropping off as the cost of land soars.

It says the limited supply of new land has led to the growth in land prices outstripping the growth in house prices in recent years.

Anyone on a bike commuting to work each day will soon tell you there are multitudes of vacant blocks of land lying idle. Regardless of the 119.623 vacant homes on census night, there are easily as many vacant blocks of land held by speculators in Melbourne.

Yes that’s right, the privately controlled supply of land is what is forcing up the price of land. Urban sprawl forever is not the answer.

Rudd’s Commonwealth land supply is nothing more than a handout for land bankers – unless Rudd backs it up with a holding charge on land. See evidence of land bankers in action on a former commonwealth RAAF site in Melbourne’s poorest community, Braybrook.

No wonder people are paying more as a percentage of wages than ever before. But yet powerful interests are able to manipulate the media into doublespeak. This land banking trend is what has driven the US economy to such meltdown mayhem. We will be next.

Read more about the importance of releasing this privately monopolised supply of land in the I Want to Live Here report.

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