If there is no money for people to buy new homes the builders won't build, as they are unable to attract the necessary investment.
Obviously, this affects the jobs market as the construction trade suffers and workers are laid off.
House prices and building activity in the south of England and certain hotspots have started to rise again, but so far Scotland and Glasgow are lagging behind.
However, the news of some sites being prepared for development is good news for Glasgow.
It is not a sign of a massive transformation, but is a signal there is some growth and enough activity to persuade builders to put spades in the ground.
The more new affordable houses are built for those able and willing to buy, means the pressure on existing stock will begin to ease and more people can be employed in the construction industry.
Glasgow needs a good mix of housing types in both the public and private sector to meet the needs of the city, its residents and those who want to move here.
These small steps represent encouragement that the city economy is recovering and moving in the right direction, however slowly.