I live in a part of rural Scotland that has experienced a huge rise in demand and a huge rise in house prices since about 6 months in to Covid.
Properties have been sold for 50% over asking price. New build prices are up an additional £20-30k on pre-pandemic prices. Yes the costs of timber rose but have since plummeted again. Homes are being advertised as "ideal Airbnb opportunity." 2nd homes are lying empty and those that are relocating are able to pay well over asking price.
But wages haven't risen in the area. Average saleries for the area are ~£22-£26k.
I don't blame people relocating, it helps the regional economy and they've worked hard to save and buy what could well be out of their reach in eg SE England.
But this isn't sustainable. Developers stating they are building more houses to ease the problem are just inflating their prices.
Communities are dying off in tourist hotspots where holiday homes are now the norm. Long term rentals in such areas are few and far between with houses being switched to holiday lets.
It doesn't look set to stop. Prices are predicted to rise 9% again this year.
Huge swathes of land are being bought up to be "rewilded" by companies looking to offset their carbon tax. One such company who spouts the UK prime minister's dad as investor has stated that sustainable property will be built on the land bought and they forsee 40% of their income being derived from this. Except it's property in the form of hunting lodges and high end Real Estate.
Employers in the area cannot find accommodation for their staff.
We have tried to buy but have accepted that this may no longer be an option. Wages don't keep up with the rise in house prices.
AIBU to suggest this is the Highland Clearances 2.0?