6 ms·

The better option is to turn those renters into owners for both residential, commercial, and industrial. Eliminate the rent seeking class as a set of buyers fr

The better option is to turn those renters into owners for both residential, commercial, and industrial. Eliminate the rent seeking class as a set of buyers from the real estate pie and force developers through permitting to only sell — not lease their properties. Those who disagree will always be some form of a landlord. Remember, landlords provide housing the same way scalpers provide tickets.

mistrial9 2y ago
An adult woman in Southern California whose family built a rental unit business in the 1950s, declared about $840,000 personal income in one recent tax year.. no property sales, no other business interests.. taxes on that income were about $250,000, including California State taxes, leaving about $50,000 per month passive income, month after month, year after year.
- deleted 2y ago
  [deleted]
f1shy 2y ago
I would really really, honestly know why the downvotes… Is a too simplistic view? If so, what is the enlightened view?
- mistrial9 2y ago
  guess -- "eliminate the rent seeking class" is directly threatening to the rent-seeking class members here, who directly downvote without discussion?
  - freitzkriesler2 2y ago
    Precisely. They know they're leaches .
- deleted 2y ago
  [deleted]
- tonfa 2y ago
  Not every country works the same, coming from a place with low home ownership (40%, mostly in countryside). Some ideas of what can be different: - lower flexibility (non liquid and concentrated investment) - many people will end up with majority of their savings in real estate instead of more productive part of the economy (companies, etc.) - might discourage people from seeking opportunities elsewhere if there's a high cost of selling/buying houses - in cities institutional owners (here a lot of buildings are owned by pension funds) can take a better care of multi family buildings (compared to a fragmented ownership where some owners might block even value preserving investment), it's also easier to mandate policies (e.g. better isolation, etc) for those institutional owners
  - freitzkriesler2 2y ago
    [flagged]
    - readthenotes1 2y ago
      I introduced myself to you in your comment currently "above":)
    - tonfa 2y ago
      > I have yet to ever meet these types of people where renting ever makes sense. They clearly don't exist. As I mentioned, not every country is the same :) Most buy vs. let simulation will tell you not to buy in over priced swiss cities. I'm happy to have pension funds take care of my housing needs for their 1 or 2% return and invest my equity in stock market instead of tying 1 or 2M on housing.
- freitzkriesler2 2y ago
  Because there are landlords here who are seething at a radical concept.
miggol 2y ago
I think outlawing rental property is a fun and radical idea but it does of course ignore the practical reasons people seek to rent housing rather than own it. They might want temporary or shared housing, or prefer to outsource the responsibility and liability of homeownership. All renting of housing should be well regulated and good housing policy must be comprehensive, covering both the supply and demand side of the equation.
- f1shy 2y ago
  I interpreted the idea as making people who must live in rent (but would like otherwise) able to buy. Of course there is need to rent, fir vacacions, or while moving temporally
  - freitzkriesler2 2y ago
    We have short term rentals. Theyre called hotels and will still exist. Even crazier is the concept that there are hotels with kitchens in them where you can live in short term.
pg_bot 2y ago
There are many situations where renting is advantageous to owning.
jandrewrogers 2y ago
I suppose it never occurred to you that many people actively avoid owning a residence, preferring to rent even when they could easily afford to buy a residence with cash? In your world these people don't exist yet inexplicably I know several. Landlords are providing a service that many people literally want to pay for.
- aprilthird2021 2y ago
  But as a policy proposal, those people will be inconvenienced just like landlord. OP could consider such people exist but also consider rent-seeking such a negative element in the economy that he'd rather eliminate that choice even for people who want it. Much like title loans
- freitzkriesler2 2y ago
  I have yet to ever meet these types of people. They clearly don't exist. The fact that landlords think they provide a service is comical. You don't. Homes can be bought and sold within a year very easily even in 2nd and 3rd tier markets. I know because I've done it. The fact that the settlement period for home buying/selling takes so long is a technical problem that can be easily fixed with NFTs and other technology. You are a leach and provide 0 service.
  - readthenotes1 2y ago
    Hi! I'm readthenotes. I preferred renting for ease of mobility and avoiding buying during a housing bubble. In my area, there is significant financial friction in house transactions. It takes living in the house at least 2 years to soak those costs (having done it twice). In one of those houses, I got another year with two 6 month rentals, both to people relocating who didn't want to be forced to buy immediately (I believe the first person wanted to save up money before buying his Permanent home and the other just wanted time to get used to the new city). In my own rental situation, I thoroughly enjoyed the flexibility of a low friction end to my residence. We will probably never meet in person, but I believe there are plenty like me.
  - marssaxman 2y ago
aprilthird2021 2y ago
Just curious how this will allow for short term stays of 1-2 years in an area for, say a visiting fellowship, a seasonal job, etc. The problem is that homes are so expensive, average people cannot afford to even make enough payments on a home to meaningfully own it in 3-4-5 years. Maybe you're suggesting rent convert to partial equity in a home?
- freitzkriesler2 2y ago
  I've bought and sold homes in a year or 2 time frame many times even in 2nd or 3rd tier markets. You have closing costs which each your deposit and then for the year your mortgage pays down the costs. Those closing cost fees are the middle men fees entirely. They are there because home buying and selling is a comically antiquated process that can be fixed easily with a technical solution. There's no reason home buying cannot have settlement periods of 5 days.
readthenotes1 2y ago
When I got my first full-time job, my step-mom encouraged me to buy a condo near work. I resisted, and moved 3 times in the next 5 years at that job. I moved about every 2 years during my 20s and 30s. Renting allowed that. Owning would have prohibited it.

mistrial9 2y ago

An adult woman in Southern California whose family built a rental unit business in the 1950s, declared about $840,000 personal income in one recent tax year.. no property sales, no other business interests.. taxes on that income were about $250,000, including California State taxes, leaving about $50,000 per month passive income, month after month, year after year.

deleted 2y ago
[deleted]

f1shy 2y ago

I would really really, honestly know why the downvotes… Is a too simplistic view? If so, what is the enlightened view?

mistrial9 2y ago
guess -- "eliminate the rent seeking class" is directly threatening to the rent-seeking class members here, who directly downvote without discussion?
- freitzkriesler2 2y ago
  Precisely. They know they're leaches .
deleted 2y ago
[deleted]
tonfa 2y ago
Not every country works the same, coming from a place with low home ownership (40%, mostly in countryside). Some ideas of what can be different: - lower flexibility (non liquid and concentrated investment) - many people will end up with majority of their savings in real estate instead of more productive part of the economy (companies, etc.) - might discourage people from seeking opportunities elsewhere if there's a high cost of selling/buying houses - in cities institutional owners (here a lot of buildings are owned by pension funds) can take a better care of multi family buildings (compared to a fragmented ownership where some owners might block even value preserving investment), it's also easier to mandate policies (e.g. better isolation, etc) for those institutional owners
- freitzkriesler2 2y ago
  [flagged]
  - readthenotes1 2y ago
    I introduced myself to you in your comment currently "above":)
  - tonfa 2y ago
    > I have yet to ever meet these types of people where renting ever makes sense. They clearly don't exist. As I mentioned, not every country is the same :) Most buy vs. let simulation will tell you not to buy in over priced swiss cities. I'm happy to have pension funds take care of my housing needs for their 1 or 2% return and invest my equity in stock market instead of tying 1 or 2M on housing.
freitzkriesler2 2y ago
Because there are landlords here who are seething at a radical concept.

miggol 2y ago

I think outlawing rental property is a fun and radical idea but it does of course ignore the practical reasons people seek to rent housing rather than own it. They might want temporary or shared housing, or prefer to outsource the responsibility and liability of homeownership. All renting of housing should be well regulated and good housing policy must be comprehensive, covering both the supply and demand side of the equation.

f1shy 2y ago
I interpreted the idea as making people who must live in rent (but would like otherwise) able to buy. Of course there is need to rent, fir vacacions, or while moving temporally
- freitzkriesler2 2y ago
  We have short term rentals. Theyre called hotels and will still exist. Even crazier is the concept that there are hotels with kitchens in them where you can live in short term.

pg_bot 2y ago

There are many situations where renting is advantageous to owning.

jandrewrogers 2y ago

I suppose it never occurred to you that many people actively avoid owning a residence, preferring to rent even when they could easily afford to buy a residence with cash? In your world these people don't exist yet inexplicably I know several. Landlords are providing a service that many people literally want to pay for.

aprilthird2021 2y ago
But as a policy proposal, those people will be inconvenienced just like landlord. OP could consider such people exist but also consider rent-seeking such a negative element in the economy that he'd rather eliminate that choice even for people who want it. Much like title loans
freitzkriesler2 2y ago
I have yet to ever meet these types of people. They clearly don't exist. The fact that landlords think they provide a service is comical. You don't. Homes can be bought and sold within a year very easily even in 2nd and 3rd tier markets. I know because I've done it. The fact that the settlement period for home buying/selling takes so long is a technical problem that can be easily fixed with NFTs and other technology. You are a leach and provide 0 service.
- readthenotes1 2y ago
  Hi! I'm readthenotes. I preferred renting for ease of mobility and avoiding buying during a housing bubble. In my area, there is significant financial friction in house transactions. It takes living in the house at least 2 years to soak those costs (having done it twice). In one of those houses, I got another year with two 6 month rentals, both to people relocating who didn't want to be forced to buy immediately (I believe the first person wanted to save up money before buying his Permanent home and the other just wanted time to get used to the new city). In my own rental situation, I thoroughly enjoyed the flexibility of a low friction end to my residence. We will probably never meet in person, but I believe there are plenty like me.
- marssaxman 2y ago

aprilthird2021 2y ago

Just curious how this will allow for short term stays of 1-2 years in an area for, say a visiting fellowship, a seasonal job, etc. The problem is that homes are so expensive, average people cannot afford to even make enough payments on a home to meaningfully own it in 3-4-5 years. Maybe you're suggesting rent convert to partial equity in a home?

freitzkriesler2 2y ago
I've bought and sold homes in a year or 2 time frame many times even in 2nd or 3rd tier markets. You have closing costs which each your deposit and then for the year your mortgage pays down the costs. Those closing cost fees are the middle men fees entirely. They are there because home buying and selling is a comically antiquated process that can be fixed easily with a technical solution. There's no reason home buying cannot have settlement periods of 5 days.

readthenotes1 2y ago

When I got my first full-time job, my step-mom encouraged me to buy a condo near work. I resisted, and moved 3 times in the next 5 years at that job. I moved about every 2 years during my 20s and 30s. Renting allowed that. Owning would have prohibited it.