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The reason midwestern cities hardly have housing bubbles like the coastal areas do is because old housing is cheap and competes with renting. Landlords can't af
by earlINmeyerkeg 7y ago
The reason midwestern cities hardly have housing bubbles like the coastal areas do is because old housing is cheap and competes with renting. Landlords can't afford to not be lenient. Although the only change I wish to see is that tenants could more easily enforce their rights and Landlords had to follow the law.
Most midwestern state governments are very laissez faire about the whole thing which is incredibly annoying. Apartment cleaning is illegal to make tenants pay for or withold a security deposit, yet they still do it anyway cause landlords know tenants aren't taking them to small claims for it. As a tenant, you need housing references. So taking your landlord to court over $100 is a surefire way to making you ineligible for further tenancy basically.
Landlords don't like tenants that know and enforce their rights.
- danans 7y ago> The reason midwestern cities hardly have housing bubbles like the coastal areas do is because old housing is cheap and competes with renting. Sure, but isn't the reason that housing is cheaper because those cities don't have anywhere near the level of demand that coastal cities have.
- earlINmeyerkeg 7y agoYes and I'm not denying that. Also the midwest hasn't seen radical overvaluation of property that the coastal areas do. Since demand is so high there, the value of the property is not determined upon is "worth," but on someones ability to pay. You can see how that becomes a major issue when things crash. Suddenly many people lose out on the value of the place they paid for.
- danans 7y ago> Since demand is so high there, the value of the property is not determined upon is "worth," but on someones ability to pay. The monetary value of the something is by definition what the highest bidder is willing to pay for it. How would you determine it otherwise?
- mrep 7y agoChicago has the 3rd largest metro population in the entire US [0]. Granted, I wouldn't argue that old housing is what keeps housing relatively cheap there but instead that there is endless farmland to build new housing and thus the price will pretty much always equal the marginal cost of building a new house as anyone trying to charge more can just buy some cheap farmland and build a house themselves. [0]: https://en.wikipedia.org/wiki/List_of_metropolitan_statistical_areas https://en.wikipedia.org/wiki/List_of_metropolitan_statistic...