Factors and Policies Affecting Private Housing in the UK

WRITTEN REPORT
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Table of Contents
INTRODUCTION ..........................................................................................................................2
Main body .......................................................................................................................................3
1.Main factors for supply and demand analysis to identify various factors to understand the
price of private housing within United Kingdoms......................................................................3
2.Recognizes and explain the main government or economies policies that can be used to
stimulate the demand regarding private housing within United Kingdom..................................7
CONCLUSION ............................................................................................................................10
REFERENCES..............................................................................................................................11
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INTRODUCTION
United Kingdom is the developed nation where people have adequate income sources
(Cook, 2017). The United kingdom ratio houses prices to the average UK houses prizes that has
enhances the sustainability sine 1970s .government has made many policies in order to maintain
interest rates, but still there are many factors that influence interest rates and due to which
property prices get affected. Present report focuses on the main factors of the demand and
supply and also analysis various Economic policies of the United kingdom in terms of Private
housing.
Main body
1.Main factors for supply and demand analysis to identify various factors to understand the
price of private housing within United Kingdoms.
there is significant relationship between supply and demand. Price is the common factor
which influence both. If prices are high then demand can get reduced whereas if prices are low
then it increases demand. But to make balance between demand and supply thee is need to have
clear monitoring over things that affect price (Guiso and et.al., 2017).If there is equilibrium in
prices that means there is proper supply of goods and demand is managed properly.
(Karunanithi, and et.al., 2017).
Demand Curve
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Demand curve can be described as visual representation of units that are being bought at
particular price. (Larondelle. and Lauf, 2016). This shows relations between price and demand
schedule. Elastic demand can be described as situation when price got down because of increase
in quantities bought Whereas inelastic demand can be defined as increase in prices of
commodity but there is not increased quantities purchased (Goldenberg,and et.al., 2017). If price
get changed then demand curve will be shift. That means if there is demand increase then curve
will move towards tight . This curve represents that there is shift demand of commodity at this
price. Whereas if curve is moving towards left that shows that demand is decreasing. Means
people are not ready to buy properties at his price range.
Supply curve
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