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> housing costs could be flat or even decrease if we simply increased supply dramatically I have a feeling places like SF and NY have already tried this. Consi
by shard972 8y ago
> housing costs could be flat or even decrease if we simply increased supply dramatically
I have a feeling places like SF and NY have already tried this. Considering most of these foreign investors are most interested in these two cities over lets say Nebraska, it's hard to see how NY just needs to "build more supply" is a solution.
> If we had policies that encouraged always building
We have those in Australia, it's called negative gearing. We also have the most expensive houses when compared to average income and our cities have taken your advice and started to build up at rapid paces. Still hasn't worked.
The Aus government is now suggesting we lower our immigration cap from 1% of total pop yearly so maybe that will help.
- GlennS 8y agoNot sure negative gearing is actually intended to increase house building? Isn't it just a strange (legal) tax loophole which enough people take advantage of that it's difficult to get rid of politically?
- goodcanadian 8y agoWell, it likely increases housing prices by reducing the effective cost of leverage.