3 ms·
> introduce a large (eg 5%) annual tax on secondary properties congratulations, now the most vulnerable population - renters, pay 5% more.
by dzhiurgis 5y ago
> introduce a large (eg 5%) annual tax on secondary properties
congratulations, now the most vulnerable population - renters, pay 5% more.
- hazza_n_dazza 5y agorent is fixed at the bottom end by renters income. more likely to dissuade investors if they can't take the crunch.
- erentz 5y agoThis is always an argument when taxes on property come up. By reasoning we should make all the existing f taxes on property 0% because it’d all immediately pass through. But that’s not how it works. In this case it doesn’t abolish rental property anyway. Your investor that thinks he can hold onto his large portfolio and just raise rents 5% is competing with a married couple who own one house they live in and one they rent and therefore isn’t subject to the tax. And against the person who owns an apartment in AMS but relocated to Rotterdam or somewhere else for a few years and is renting there so renting out their own apartment. Also competing against non profit housing charities and municipal housing (eg Vienna) and coops/companies with large portfolios by very large shareholder counts. That is this style of investor wouldn’t be sound anymore and would go away.