4 ms·
Why wouldn't an empty unit tax help supply? Supply of what though? Housing units or rental units. Make owning rental units too expensive and risky and people w
by dagw 4y ago
Why wouldn't an empty unit tax help supply?
Supply of what though? Housing units or rental units. Make owning rental units too expensive and risky and people will convert those units from rental to owned by simply selling them. Now while the total supply of housing hasn't changed (and might even have increased on the margin), there will be less supply of rental units on the market.
- kjreact 4y ago> Now while the total supply of housing hasn't changed (and might even have increased on the margin), there will be less supply of rental units on the market. But then you’d also have less renters in your scenario because a renter became an owner. Less renters would mean a decrease in demand for rentals. The only situation which hurts buyers and renters is when the unit is left empty to artificially decrease supply.
- Rury 4y agoWhy not both?