8 ms·
Stop subsidizing demand at the national level. Stop restricting supply at the local level.
by DGAP 2y ago
Stop subsidizing demand at the national level. Stop restricting supply at the local level.
- postalrat 2y agoLand is cheap but building a house is expensive. If you want more supply then you are going to need to make building more economical.
- mym1990 2y agoLand is definitely not cheap in places people actually want to live, and land is the thing that is appreciating over time, not the structure.
- tsss 2y agoThe building does appreciate sometimes, at least here in Germany because the increasing absurdity of bureaucracy and regulations make the same class of house more and more expensive to build. At the same time, "lower classes" of houses become outright illegal to erect, leaving only the luxury segment for new buildings. Old buildings have grandfather privilege and thus become more expensive than an equivalent new build would be, simply because you aren't allowed to build new.
- mym1990 2y agoRight, I'd figured there are exceptions to my assessment, and my view is only from the US. Many homes in the US are are seemingly being built with lower quality/faster timelines, and I personally would not want to see what they look like in 30 years... There is also the consideration that "lifestyle" appreciation can also happen. If an area gets really built up, more things are happening in the neighborhood that make it a more appealing place to live in, the allure of that lifestyle will push people to buy homes that are probably not worth much in another location.
- photonthug 2y agoUnfortunately things like prefab buildings that could cut costs in half do tend to be illegal
- NewJazz 2y agoThis is not even close to true. Land can be very expensive. Especially when it has infrastructure built out to it already.
- onion2k 2y agoLand is not cheap in the UK.
- secondcoming 2y agoAnd unless your property is Freehold, you don't own the land at all.
- dukeyukey 2y agoTo be fair, most properties in the UK are freehold.
- secondcoming 2y agoNot in Scotland
- dukeyukey 2y ago_Especially_ in Scotland, since Scotland doesn't have leasehold the way England and Wales do.
- IneffablePigeon 2y agoMy (UK) house is worth 3x the total rebuild value my mortgage provider wanted me to insure it for. This implies the land it’s built on (and the planning permission to build the house) is worth twice what the structure is worth.
- djbusby 2y agoIn King County WA the assessment would have two line items. Land: 500,000 Improvement: 300,000 They tax that at $800,000
- postalrat 2y agoI seen plenty of land around that area for $150k or less. No doubt some land is worth $500k plenty is not anywhere near that.
- sgregnt 2y agoIn desired areas land is about 80% of the house price, that's why if you add zoning you obly get exyremely expansive single family houses where you could get cheat multi family high rises
- whoknowsidont 2y agoThat's not the problem at all. Stop allowing people to buy multiple homes. Stop allowing landlords to "collaborate" on prices.
- erickf1 2y ago[flagged]
- daniel_iversen 2y agoIt could be as simple as removing or reducing tax incentives for property investment?
- shrewduser 2y agoSorry what? Shelter is a necessity for survival. Is it communism to not allow people to buy up all the water supplies and sell it back to you at an extortionate rate? The truth about the housing market is that it's not a free market anyway it's controlled by special interests, bad laws, zoning, local nimbys and councils the list goes on.
- immibis 2y agoYes, actually, that is communism and it's awesome.
- blackeyeblitzar 2y agoShelter is a necessity but lots of people think they’re entitled to live wherever they want at a price they can afford. They go to SF or NY and complain about rents when there is a whole country they can live in. I don’t think communities have to allow higher density and the lower quality of life that comes with it. Desirable places are going to be expensive and that’s okay. Personally I think if we have better rail, people can live in a wider range of places but still access jobs. You see this in Europe, and it lets smaller communities keep their way of life.
- 2y ago
- fire_lake 2y agoInequality is another issue. Even with enough homes, if they are all owned by minority of the population who extract rents from the rest the situation remains pretty dire.
- robertlagrant 2y agoThat's not an issue if there's supply. What you're describing (unsubstantiated) is a lack of supply being exploited.
- EgregiousCube 2y agoIs inequality bad in and of itself? If there's a healthy market of buyers and sellers, but also a lot of inequality, is that a problem?
- Gupie 2y agoYes, it is bad. The distribution of wealth determines the distribution of resources. The housing stock is limited. It ends up being mainly owned by those with a lot of money, in the process putting prices up beyond even what the middle class can afford. Building new houses won't fix this as the new houses will end up being owned by the rich as well.
- EgregiousCube 2y agoIf we define 'healthy market' as one in which there are abundant buyers and sellers, and in which prices on the lower end are consistently within the middle class's grasp, is inequality still bad in and of itself?
- bequanna 2y agoStop subsidizing non-owner occupied demand.