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> Why collect rent when the property price keeps increasing regardless? Because then you get the property price gains and the rental income on top! I don’t do
by pharmakom 6y ago
> Why collect rent when the property price keeps increasing regardless?
Because then you get the property price gains and the rental income on top!
I don’t doubt this is happening, I’m just trying to wrap my head around it.
- southerntofu 6y agoAs an individual person with a heart, it's hard to wrap one's head around. But the problem is landowners are usually very rich and soulless, when not actual corporations who have nothing human at all. To them, an empty apartment is just a line in a spreadsheet that will bring them money sooner or later. Renting the apartments would be more trouble for them, despite bringing in a little more money.
- pharmakom 6y agoSeems like a market opportunity. Take on the rental risk and management costs for some fraction of the rent payments. Insurance can be used to hedge against damages.
- southerntofu 6y agoMany companies are doing that already, and it's not working as a strategy for housing people (despite making some people very rich). The problem is that housing is a market to begin with. Basic commodities like housing shouldn't be subject to speculation and other capitalist nonsense.