Simply building more apartments is not the answer to property shortages
Solving the housing crisis is not as simple as just churning out more apartments, as some disastrous overseas examples have demonstrated.
A basic two-bed, one-bath apartment will need to sell for around $1 million to $1.2 million for the project to even proceed. (Image source: Shutterstock.com)
The contemporary narrative on housing affordability seems to be that it’s simply a case of adding more supply.
In the major cities with land boundaries to contain urban sprawl, that usually means building a lot more apartments. If land is near a train station or similarly well perceived infrastructure, building apartments is – we are told by the experts – a no brainer.
The first problem with this thesis is that it ignores the massive pressures …
