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> "The ban doesn't apply to properties with 4 units or more" - good. If the goal is to allow single family homes and duplexes, condos, etc. to drop in price, it

> "The ban doesn't apply to properties with 4 units or more" - good. If the goal is to allow single family homes and duplexes, condos, etc. to drop in price, it's providing aid in the right place. The goal wasn't to make life easier for people buying investment properties. This seems like a massive gap though, and the counterargument doesn't make sense. Surely high-density housing is (should be) cheaper than the alternatives, and provides fine homes for many people who can't afford/don't want a suburban single family home with all the expenses that entails? (Car, maintenance, etc.)

sgerenser 4y ago
It sounds like the exemption is referencing entire buildings (e.g. apartment complexes) sold as one property. Not individual condos, etc. which would still be subject despite being in a building of >4 units.
HWR_14 4y ago
Someone who buys a single family home is depriving a family of the ability to own a home. A 4+ unit complex is unlikely to fall into the same situation. Those are often rented out. You're right that it might prevent owned condos from forming instead of apartments, but the only thing that gap allows is the sale of an entire complex, and the only thing it prevents is conversion of new apartment buildings to condos. Once they are condos, a foreign investor would need to buy them all at the same time.
- kelnos 4y ago
  I think there's more to it, though. If landlords or management companies are competing to buy a 4+ unit building, that having more potential buyers (foreign buyers) will tend to make the final purchase price higher than it would have been if there'd only been local buyers, regardless of who ends up with the winning bid. And certainly the higher cost of purchase will influence the amount the new owner charges tenants to live there.
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  - HWR_14 4y ago
    > certainly the higher cost of purchase will influence the amount the new owner charges tenants to live there. I don't think it will hurt tenants if their building sells for more money, unless there are any legal limitations based on sale price of a building with regard to raising the rents. But just market forces shouldn't really react at all.

sgerenser 4y ago

It sounds like the exemption is referencing entire buildings (e.g. apartment complexes) sold as one property. Not individual condos, etc. which would still be subject despite being in a building of >4 units.

HWR_14 4y ago

Someone who buys a single family home is depriving a family of the ability to own a home. A 4+ unit complex is unlikely to fall into the same situation. Those are often rented out. You're right that it might prevent owned condos from forming instead of apartments, but the only thing that gap allows is the sale of an entire complex, and the only thing it prevents is conversion of new apartment buildings to condos. Once they are condos, a foreign investor would need to buy them all at the same time.

kelnos 4y ago
I think there's more to it, though. If landlords or management companies are competing to buy a 4+ unit building, that having more potential buyers (foreign buyers) will tend to make the final purchase price higher than it would have been if there'd only been local buyers, regardless of who ends up with the winning bid. And certainly the higher cost of purchase will influence the amount the new owner charges tenants to live there.
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- HWR_14 4y ago
  > certainly the higher cost of purchase will influence the amount the new owner charges tenants to live there. I don't think it will hurt tenants if their building sells for more money, unless there are any legal limitations based on sale price of a building with regard to raising the rents. But just market forces shouldn't really react at all.