Wednesday, February 11, 2009

Expensive housing is not a blessing

I know politicians are no more clever than anybody else these days, but still - why do they think expensive housing is so good? Everytime the interest rates are lowered everybody is happy, talking about increased housing prices as if this was good. First of all, a low interest rate is a sign of a week economy, so any politician should be ashamed and think about what (s)he did wrong to get us there. Of course the real estate people are happy because they will make more money, but for the common man, is it really that great? No. The more expensive the housing is, the tougher it will be to create a good life for oneself. Already back in the 60's this was understood in Sweden and they did all they could to build housing, so that everybody could get a decent life. This was the basis for the "swedish miracle", the reason why Sweden still is the best country in the world to live in. Now, this is totally forgotten.

Is it simply greed? In that case it's actually stupidity, because you can't cash in on that fine deal! You need a place to live, no matter what. Not only does it get tougher to enter the housing market in the first place, but it will also become much more expensive to afford bigger housing. The only good thing is that you can make a buck moving to a smaller place, or moving abroad. But is this really what we want? Smaller housing? Poorer people?

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