Housing Finance

Purchasing a house is the single most important financial transaction made by most people during their lives and the housing market is the most important type of financial asset held by individuals. Ownership of a house provides multiple services. It is an investment asset. It provides direct convenience and service. And it can be a means of registering and acquiring social status. It is the classic inflation hedge. The price of a house tends to be determined by what people can afford to pay, and the cost of building them tends to reflect the general movements of labour and other costs. Both on the supply side and on the demand side prices and costs move naturally in line with inflation.