4 ms·

The landlord. If you're not ok with that risk then you should sell to someone who is.

by rcpt 4y ago

scarface74 4y ago
Yes because decreasing profit potential is going to do an amazing job at increasing capital inflows, increasing supply and affordability. If I know that there is more risk involved in being a landlord, why wouldn’t I increase the rent to compensate?
- rcpt 4y ago
  Higher profit risk means you won't bid as high for investment property. Sounds good to me. If you could increase the rent and still find tenants you'd do it right now. No reason to wait for any legislation
  - deleted 4y ago
    [deleted]
  - scarface74 4y ago
    Higher profit risks mean that I’m going to charge more. If it doesn’t make sense for me to invest in real estate, why not invest in something else? How does that help reduce housing costs? If the regulations change, all landlords that have any business acumen are going to address that by raising rent. The entire market is going to change.
    - crote 4y ago
      Exactly, that's the entire point. If landlords are less willing to invest in property the housing price will drop, making it easier for people to buy the house themselves. People don't want a landlord, they want a home. For many people the landlord is currently a necessary evil they'd rather get rid of.
      - scarface74 4y ago
        No the entire market is going to change and if I know my risks are going to change, I’m going to increase rent. It’s going to increase prices and/or reduce supply as not as much capital flows in. People may not want landlords. But everyone doesn’t want to own a home. By definition, they want to rent from someone else - ie have a landlord.
        rcpt 4y ago
        This wouldn't magically create rich tenants in your city. If you can really do it then why don't you simply increase rent right now?
        scarface74 4y ago
        The market conditions as they exist today with the known expenses has established an equilibrium. When expenses go up or risks go up across the market, the market adjusts.

The landlord. If you're not ok with that risk then you should sell to someone who is.

by rcpt 4y ago

The landlord. If you're not ok with that risk then you should sell to someone who is.

Yes because decreasing profit potential is going to do an amazing job at increasing capital inflows, increasing supply and affordability. If I know that there is more risk involved in being a landlord, why wouldn’t I increase the rent to compensate?

rcpt 4y ago
Higher profit risk means you won't bid as high for investment property. Sounds good to me. If you could increase the rent and still find tenants you'd do it right now. No reason to wait for any legislation
- deleted 4y ago
  [deleted]
- scarface74 4y ago
  Higher profit risks mean that I’m going to charge more. If it doesn’t make sense for me to invest in real estate, why not invest in something else? How does that help reduce housing costs? If the regulations change, all landlords that have any business acumen are going to address that by raising rent. The entire market is going to change.
  - crote 4y ago
    Exactly, that's the entire point. If landlords are less willing to invest in property the housing price will drop, making it easier for people to buy the house themselves. People don't want a landlord, they want a home. For many people the landlord is currently a necessary evil they'd rather get rid of.
    - scarface74 4y ago
      No the entire market is going to change and if I know my risks are going to change, I’m going to increase rent. It’s going to increase prices and/or reduce supply as not as much capital flows in. People may not want landlords. But everyone doesn’t want to own a home. By definition, they want to rent from someone else - ie have a landlord.
      - rcpt 4y ago
        This wouldn't magically create rich tenants in your city. If you can really do it then why don't you simply increase rent right now?
        scarface74 4y ago
        The market conditions as they exist today with the known expenses has established an equilibrium. When expenses go up or risks go up across the market, the market adjusts.