Wednesday, 9 January 2008

Land Speculation : "Don't worry, Be Happy"

Who don't remember Bobby McFerrin song (with some addition):

"Don't worry be happy
In every land we are speculating
When you worry you make it double
Don't worry, be happy......"
until the government wakes last?

"Raising property tax rates may ease the Finnish capital region's housing woes by encouraging private owners to sell land for home construction, according to a study made public on Tuesday."

"Commissioned by the government, research company Kaupunkitutkimus looked at problems afflicting the region's housing market."

"The study found that there was an abundance of land available for housing construction but that landowners were sitting on it as they expected prices to rise further."

"According to the study, raising the property tax rate by one percentage point may achieve a 15-per cent increase in housing construction."

I repeat again this was a call made by many organizations 3 to 4 years ago and the government didn't react. Now they are reactive when they should have been pro active. Indeed they are completely behind the curve...

Source: STT, McFerrin lyrics

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