Grant for new homes only

Gavin R. Putland writes in the Daily Telegraph (Letters, Sep.30, 2003, p.18):

Taking homes for granted

Because the most expensive suburbs are long established, the super-rich are more likely to buy established homes than new homes. So one way to discourage the super-rich from exploiting the first homeowners' grant is to make the grant available for new homes only.

This policy would also encourage building, which would increase the supply of housing and improve affordability — instead of simply driving up the prices of established homes.

[Posted May 14, 2009.]