[chiefalchemist]

Agreed. The subsidies(tax breaks) help drive up prices (just as student loans have inflated higher edu cost). Unfortunately, in the case of housing, as mentioned, property taxes come into play. It seem unlikely gov is going to cut off its own revenue stream.

My point about the banks was, we can't expect low end houses to be built if they can't be sold (because banks are less likely to finance them.) I'm not suggesting artficial support. I'm curious to know if the void in this segment in housing is fed by a void in bank support.