Crisis, what housing crisis?

According to a new report by Experian, the number of homes in Greater London for sale at under £250,000 is down by 14% compared with a year ago.

However, availability of homes costing £500,000 or more has jumped by 22%.

In another report, by the Greater London Authority, we are told that the average London house price is now a whisker under £500,000 at £498,00, while rents are around twice the national average.

Monthly costs of owner-occupation remain relatively low for those who manage to buy, says the report.

But what about those who don’t manage to buy?

In a disturbing piece of reporting, a Guardian writer looks at what is going on in Tower Hamlets, in London.

Tower Hamlets is home to Canary Wharf, whose economy is worth more than that of Monaco. But it is also home to some of the very poorest people in the whole of Britain.

Luxury apartments sell for millions in Tower Hamlets, while a number of local people struggle with homelessness, displacement (which sounds suspiciously like slum clearance) and poverty. Some of their stories are heartbreaking.

The Guardian interviewed people from the property world, including from Cluttons, and also those whose lives are a long, long way from any kind of advantage.

So, when an estate agent describes an area as vibrant, edgy and up-and-coming, should we care about those being increasingly left behind?

And are we also seeing the unexpected consequences of last December’s Stamp Duty reforms, which means that homes which were marketed at under £250,000 are now for sale at rather more?

Eye realises that the Guardian’s agenda is not shared by everyone. We also realise that some of our readers will think that Tower Hamlets is simply a local matter for Londoners.

However, the Experian report says a similar picture is being seen across the south-east, with the number of homes for sale at under £250,000 down by 10% and homes at more than £500,000 up by 25%.

We suspect the issues raised are going to become a far more widespread talking point over the next five years.

The Guardian story is here

The Greater London Authority report is here