Housing shortages? Really?

today's harvest
Creative Commons License photo credit: looseends

 

Saturday mornings at the Richmond market. I hear a fruit stall worker calling his wares: “Last of the carrots! A dollar a bunch! AND THERE’S NO MORE!”

Of course, he has carrots by the boxful under the table, but his solemn warning means he sells out every day.

Shameless lying by a fruit seller is probably harmless. And his carrots are brimming with vitamins.

When real estate ‘professionals’ use these tactics to create a buying stampede, the consequences are profound.

Homebuyers commit to lifetimes of heavy debt. 

They overpay for houses far from work, far from family, far from facilities. 

Then every adult needs a car.  For years they drive past miles of vacant land to their jobs and to visit mum. When petrol prices rise, they suffer agonies.

Their children grow up without a community and go to distant crowded schools.

The sheer stupidity of this distorted behaviour is due to the housing shortage. Because well-located homes are too expensive and unavailable.

What if there was no housing shortage?  What if it was all a lie?  Would we still pour our life’s earnings into unsuitable houses?

I can prove it is a lie. 

The evidence is in Earthsharing Australia’s I Want To Live Here Report.

Earthsharing didn’t rely on advertised vacancy figures. They used a different measure: water consumption.  An empty house uses no water.

One in fifteen Melbourne houses use less than 50 litres of  water a day.  They are unoccupied.

Melbourne’s Genuine Vacancy Rate currently stands at 6.86%.

These are speculative vacancies, properties held off the market to drive up prices and cream off a capital gain.

When prices turn – as they must – speculators will pour these private dwellings onto the market.  The phrase AND THERE’S NO MORE will refer to the ‘greater fool’ speculators rely upon, not shelter for families.

Sign the petition!

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https://prosper.org.au/2010/06/16/housing-shortages-really/