What influences demand for housing?
There are many key factors that will affect the demand for housing
some of the easy ones to notice are population and price. These
factors effect lots of goods as the larger amount of people the more
consumers there will be. With price a consumer will always wish to pay
the lowest amount for a good. If the price gets to high then they will
find a substitute.
Looking at population in more detail it isn't as simple as it would
first appear. You could just say the public will buy a house and the
more public there is there is more demand for the good. This in turn
would allow housing companies to charge larger prices and so only the
rich can afford it. The problem is that people don't have to buy a
house they can rent one or share one. As well as these factors they
can take out a loan to buy the house and pay it back over a period of
time. Loan companies charge interest and when interest rates are low
more people take out loans as they don't have to pay back such a large
sum of money. With lots of loans companies coming up, it has become
very easy for anyone to get loan whatever their background is like.
Renting a house can be done in lots of ways. Some people make their
career in it they buy lots of houses and rent them to people who are
unable to buy a house. This is good for people who are only in the
country for a short period of time, as you can charge them large
amounts because of the location of your house. Some people don't have
any money at all and are in a bad economic state and are given a
house/flat by the council. They still have to pay money to live in the
house but less than from private rent business. Private rent
businesses are there to make a profit and will charge higher prices
and have better quality goods to match.
When looking at price it normally goes on a set pattern that as high
prices means less demand and vis versa. The problem was this didn't
happen and looking at figure 4.8. This is due to the low interest
rates charged by loan companies mentioned above.
When addressing others factors you need to look at the country and is
it going through some sort of event. During a depression people are
find it hard to get a job due to high unemployment. With this the
demand for new house with the public wouldn't become a luxury that
hardship, the only option available to ensure that they can afford their monthly mortgage is to
In the Late nineteenth century the population was growing at a rapid pace. The country had people flooding the biggest cities in the country such as New York City and Chicago. These populations were gaining more and more people every single year and the country has to do something to make places for these people to live. The government would go on to create urban housing programs. These programs were created to make homes for these people to live in. At the time it provided a place for people to live but as the populations grew it became a more cramped and rundown area because of the large populations in one place. These reforms eventually led to these areas becoming dangerous, they were rundown, and it created a hole that was difficult for people to get out of.
Most people that decide to buy houses do so by applying for loans. There are two distinct types of mortgages or loans.
Have you ever noticed that while you’re driving around Austin that the homeless have become a common casualty to exhibit. I know the first thing that comes to mind is, “How ridiculous, why don’t they just get a job!”It perfectly acceptable to wonder, whether your money would go towards feeding a starving stomach or a drug addiction, therefore your generosity would be put to better use through a charity foundation or simply by offering a meal. The reality is that the majority of people who are homeless are unable to work due to certain disabilities. In other words, the best response is compassion. There is only so far we can do as a community, the major change has to come from a superior source, which is why I propose that the City of Austin ought to step up and diminish this problem. The City of Austin should build more affordable housing and assistance programs because it will help reduce homelessness.
Mark Kantrowitz indicates in his article, Why the Student Loan Crisis Is Even Worse Than People Think, that “Student loan debt is increasing because government grants and support for postsecondary education have failed to keep pace with increases in college costs”(Why 1). This means that the government no longer covers for college tuition fees. College graduates are 20% more likely to work at a job that is outside of their major by the debt they are in. Kantrowitz also mentions that “students who borrow to attend college, it appears that more than a quarter (27.2%) of them are graduating with excessive debt” (Why 1). In reality, leads to student saying that the financial cost was worthless, ending up with a job that is especially not what they went to school
The affordability of housing is one of the most critical factors that determine the well being for Californians. Housing affects people’s lives in terms of education, recreation and choices for jobs. On the state level, the cost of housing has important impact on California economy, affecting the extent to which employers are able to hire and retain workers and influencing their preferences on whether to work and remain in California.
Designed for the people having a large sum of loan to pay, compared to your monthly income.
are forced to live off of. What happens if there is not enough to go
make money, and because of money you can get and do the things you want, which
Compare and contrast the ways in which housing inequalities are discussed from the perspectives of social policy and criminology, and economics (TMA 02)
The last thing most college students desire is to acquire more debt by taking out student loans to continue their education. The more debt college students encounter and leave school with, the greater the hindrance they have when they begin their career after school. Also, college prices tend to increase every year making it more expensive if you postpone your education. People in low-wage jobs are not motivated to continue
“One out of every two hundred homes will be foreclosed every month, making 205,000 new families enter into foreclosure,” Mortgage Bankers Association. The housing industry in the United States is undergoing an unfortunate crisis. There are way too many homes being foreclosed, which cause a ripple of problems.
thousand dollars on up to as much as the customer would like to spend, the majority of
Buying and owning your home is part of the American dream. Although the dream itself has since changed, the home still remains the main focal point. Today owning a home doesn’t necessarily mean a house. People now buy duplexes, cooperative apartments, and condominiums. For some families it could take up to a couple of generations before it’s able to have the capabilities of buying a home. To many people it means a certain achievement that only comes after years of hard work. It is a life altering decision and one of the most important someone can make in their lifetime. The reasons behind the actual purchase could vary. Before anything is done, people must understand that it’s an extraneous process and it is a long term project.
In that year, the number of college graduates was only 432,058 (Sourmaidis) and ever since the demand continually increased as did price. This trend allowed for the student loan crisis to occur, which is a problem we face today. As of 2016, American students have accrued a massive 1.3 trillion in student loan debt. Just 10 years ago, the nation’s balance was only $447 billion (Clements). This ever-present cumulative burden has caused many post graduate Americans to delay important life events such as marriage, homeownership and children because of this substantial encumbrance (Clements).