Bonds to fund house building
- September 23, 2015
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The MP for Walthamstow, Stella Creasy has told The Independent newspaper that action must be taken
because the average age of a first time buyer is now 37, so she wants pensioners to invest in bonds which
would fund house building.
She will urge the party to campaign for a bond devoted to house building and home-ownership for first-time
buyers, which pensioners would invest in and receive “a good return.”
David Lammy, London Labour MP put forward a similar proposal saying he would sell homes at cost-price,
using money from a £10 billion London housing bonds issue. He believes the homes could be sold for £150,000
as they are built on public land and sold with conditions on the leasehold intended to stop high price rises.
Buyers would eventually be able to sell for up to 10% above cost price, but only if they had lived in the home
for a substantial period. Lammy says those trying to sell after a shorter period would get “significantly lower
than 10%” appreciation. The leasehold would prevent the home being sold to an individual who already owns