(Book Review) Gaffs: Why No One Can Buy A House, And What We Can Do About It
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I was sooooo excited when I finally bought this book (which in classic me fashion, was an impulsive buy). Finally, I was going to have a deep dive into arguably one of the contemporary world’s most dire housing crises (let me be dramatic please) which I had the (dis?)honour of also living through.
Credit to Rory Hearne, the book offers a pretty comprehensive examination of the housing crises in Ireland, taking you through previous historical iterations, contemporary manifestation and possible future(s).
He locates the origins of the current mess that is the housing market in Ireland in the neoliberal withdrawal of the state in the provision of social housing and the promotion of homes as an asset for investment culminating in the introduction, support and prominence of investment funds in the provision of accommodation in Ireland. He argues that the growing relevance of giant investment funds (taking up a space previously occupied by the state) in the housing market has not only made housing inaccessible, with extortionate rents and house prices (rents are only affordable for the top 10% of income earners), but their financial muscle means they usually lobby for policies that prolong the housing crisis. In essence, scarce housing equals high rents and high rents equal profits.
What makes the analysis in the book stand out is that Rory Hearne does not just make these claims out of thin air, he meticulously quotes government policy, speeches made by ministers as well as statements from the investment funds where the reader clearly sees how the Irish housing market is a money-making juggernaut.
Thus, Rory Hearne puts forward a pretty convincing case, backed by a significant wealth of evidence. Unsurprisingly, he goes on to argue for a radical shift in the housing system. A fundamental change in the way housing should be treated, an understanding that houses are homes and not investment opportunities. A resumption of the role of the state in the provision of social housing and conversely, a reduction of the prominence of investment funds in the housing system.
While I enjoyed learning about the nature of the current iteration of housing in Ireland, its impact on the general population and what can be done to address it, my favourite chapter in the book was his discussion of the relationship between the housing crisis and the climate crisis. He does an excellent job of highlighting how the current model will exacerbate the unequal impacts of the climate crises, dampen the mass appeal of comprehensive climate action and how it will inevitably fall short of achieving any substantive climate change mitigation or adaptation. The best part is how he sees this shaping the broader narrative on climate change, explaining how the disparate impact of the climate crisis on the housing system (seen in areas such as poor insulation of most rented households and the high costs of retrofitting), can potentially lead to a decline in mass support to address it as it will be viewed as disproportionately falling on poorer households that are already struggling to pay expensive mortgages. This is worsened by the state’s lenient regulations on corporate landlords’ obligations in ensuring energy-efficient housing. This forms one of the bases for this housing reform proposal, as increasing and improving social housing not only addresses the industry’s carbon footprint through the opportunity to centre renewable energy sources, use modern technology and conversion of derelict and abandoned houses (bypasses construction emissions) but also ensures equitable access to energy-efficient housing by ensuring the state easily takes up this role in newly built social housing, in addition to other policies. I loved this chapter so much, I might do a chapter-specific review later!
Ideally, I would have preferred a more in-depth discussion of the financial arguments that are usually levied against proposals for social housing. This is not necessarily because I do not think Ireland has the finances to undertake such a task, but it would have been great if he devoted some time to at least debunking the concerns. Even if not for anything else but for providing an advocacy tool.
My larger concern with the analysis, is not his discussion of the causes but his proposed reforms (restructuring?). To be clear, I agree with the proposal, social housing would resolve a lot of the issues with housing and would be more sustainable, but Ireland is VERY reliant on global capital. This dependence is not only seen in housing but in all other economic spheres. This makes me think restructuring the housing system (stymying capital in housing) might require a rethinking of Ireland’s overall economic strategy for it to be successful. The imposition of restrictions on capital, which Rory’s propositions entail, usually leads to capital backlash manifested through capital flight or capital strikes. Given the centrality of global finance capital to Ireland, the effects may be dire or even so, that might eventually cause political upheaval. This is what Erik Wright called the “transition trough”. This is not to say the status quo must persist, but I believe that for lasting progressive reform to any sector in a country like Ireland to last, there is a need to accompany this with a reimagination of the country’s overarching economic model altogether.
Despite that, this was not my main squabble with the book. I found it pretty lengthy (and repetitive of a couple of points). This makes sense given that the book is a tool to galvanise a vibrant social movement towards housing and hence reiterating the main points made sense. Unfortunately, I was not reading it like that because I, like all the others that stupidly adore academia, read every non-fiction book as text that needs to be dissected. I squarely take the blame for that!
Overall, it was an immensely insightful book, that I believe could have been some 100 pages shorter. And an extra 15 of them on debunking budgetary constraint arguments, maybe?
Until next time!
Rating: 3.5/5
I bought the book from a cosy bookstore called Books Upstairs. It is also available on Amazon and other bookstores.
“Gaffs: Why no one can buy a house, and what we can do about it”.
