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Conversely, If half the city wasn’t a dump, rent would be high everywhere Yes, if other factors aren't taken into consideration. Speculative investment for in
by michaelchisari 9y ago
Conversely, If half the city wasn’t a dump, rent would be high everywhere
Yes, if other factors aren't taken into consideration. Speculative investment for instance. If we accept that there is a market limit on the number of people willing to pay to live in Chicago, then we can say increasing the number of viable units and neighborhoods should reduce the market rental rate.
But if people are willing to purchase properties without using them, then that throws that expectation out the window.
- crooked-v 9y agoThat kind of thing is why I support substantial punitive taxes on housing units in high-density areas left empty for more than X period of time.
- michaelchisari 9y agoI agree, but I think the situation is going to have to get even more untenable before that becomes an option, politically.
- deleted 9y ago[deleted]
- Spooky23 9y agoI don't disagree with you, but there is zero chance of any meaningful improvement in that situation. You may see reductions in the use of opaque LLCs and other structures for laundering money via real property, but even excluding that, most urban centers land markets are controlled by a small group of property owners. These folks are very politically powerful. I can't think of a city where the city administration isn't dependent on the local property bigwigs.