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> Repeat after me - the private housing sector is not going to build sufficient housing stock to tank prices in... the private housing sector. This. In the UK
by bemusedthrow75 3y ago
> Repeat after me - the private housing sector is not going to build sufficient housing stock to tank prices in... the private housing sector.
This. In the UK in particular there are so few housebuilders working at scale that they effectively have an oligopoly. And they turn off the tap as quickly as OPEC do.
- deleted 3y ago[deleted]
- the_optimist 3y agoAre these groups impairing their future profit interest, discounted at the cost of capital, by building more homes? You assert the answer is ‘yes.’ Why?
- bemusedthrow75 3y agoIt doesn't take much imagination to understand that the handful of companies who control house-building and therefore house prices might have a variety of reasons to slow down the building of houses that have nothing do to with direct profit. Because they exert power over more than just the market price by doing so. But since you're imagining words into my mouth you ought to have the imaginative capacity to figure that out for yourself.