@Fred

Does anyone remember prior to around 2005, if you wanted to buy a property, you needed at least 25.0% of the purchase price as a deposit and your repayments could not exceed more than 30.0% of current salary.

When the “moron” in government deregulated the banking system and allowed borrowers to borrow up to 100.0% of the purchase price, there was only one thing that was going to happen to the price of a property when you have 10 people bidding on a scarce resource, where 8/10 would never have qualified for a loan in the first place under the old borrowing qualification rules.

Now you have a Labour government prepared to allow future homeowners to borrow with just 5.0% deposit.
That’s insane and illogical because all that will do is continue to increase the price of an existing scarce resource.
Someone in government needs have the guts to take the heat out of the market and revert to the old borrowing criteria.
It may stabilise current market values and possibly over time allow many to afford a home where you don’t need 10 times current salary just to get into a modest property.

You are assuming they are trying to fix the “problem”. They’re trying to keep home owners happy and working on the basis that the younger people (which makes up the majority of those trying to enter the housing market for the first time) will just accept the status quo. Everyone who owns property, including politicians, want housing to become affordable but they don’t want it to become cheaper – which is impossible to achieve.