3 ms·
If you want it cheaper - not just to make a dent in the curve - "building more housing" is no guarantee by itself. You need to actually outpace moneyed demand!
by majormajor 2y ago
If you want it cheaper - not just to make a dent in the curve - "building more housing" is no guarantee by itself. You need to actually outpace moneyed demand! Most of the places that are the most expensive are the ones that HAVE built the most housing in the past (look at density vs cost).
And developments happen in order to increase value of land and demand for that land, so it's not necessarily trivial. (For instance: people with money go to new suburbs because the units of housing are larger and more upgraded; new in-city units are built that are larger and more upgraded than the old one -> some of those people want to move back. And hundreds of other little interplaying loops of human activity.)
- zemvpferreira 2y agoIt's pretty trivial actually. You can'y just build 50 apartments and call it a day. You have to build way, way, way more housing. Is the scale of it complicated? Absolutely. But the solution itself is simple. Double the size of the city. Triple the size of the city. 10x the size of the city. Shenzhen can show you how it's done.
- janalsncm 2y agoShenzhen has some of the most expensive housing in China if not the world. Also, I agree more housing is necessary. But building more housing also risks induced demand. Cheaper houses encourages people to move to buy them. Therefore, we probably would need to also restrict demand, either with a hard limit (max properties you can own) or more likely with a soft limit (2nd property is taxed 2x, 3rd is taxed 3x etc).