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But do higher house prices really create wealth, and thus substitute for the need to save?
Higher house sales encourage more spending on furniture and consumer appliances.
By boosting wealth, higher house prices encourage homeowners to spend more.
Figures from the Office for National Statistics suggest that higher house prices are also provoking a building boom.
However, Pointon said if the threshold was moved upwards "that would quickly be reflected in higher house prices".
Higher house prices also push up aggregate household borrowing to income ratios back up close to pre-2007 highs.
(That said, some recent data, such as higher house sales in February, suggest that the crisis may be stabilising).
With interest rates so low,homebuyers can comfortably service bigger mortgages and so support higher house prices.
So actually, what local government official did is good for their promotion, but local people will have to pay much, much higher house price for their promotion.
In addition to the declining value of her home, Ms. Harris, 53, will soon be hit with a sharply higher house payment.
Families facing a higher house payment or the loss of a job will probably go out less, buy fewer clothes or spend less on entertainment.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com