The London property market is no longer a "bubble" - it has become a balloon that has risen above the rest of the UK. Just how big is the balloon going to become? Every month it sweeps up more and more regions, leaving fewer people able to afford the rising prices. Those people have a choice: move further and further away from where they need to be, wait longer and longer to get more money together or stretch themselves beyond what they can afford. None of these options are good for the homebuyer, the economy or for the housing market. With average values being twice the rest of the country and the definition of London getting wider and wider we need to release some of the pressure, draw the balloon back towards the heart of London and increase the housing stock for the rest of us so we have choices which will no doubt ease the price competition that exists in a market that has insufficient number of properties for sale.
The help to Buy scheme certainly provides short term assistance for the millions of people who want to own their own home but we do need to do more to stabilise prices. We should strive as a country to make housing affordable for everyone and not permit the rising house price to earnings ratio to increase for hard working, financially sensible people.