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> you’ve gone and made rental housing economically unviable no, there are different slices here, tons of rentals are hyper-profitable now(acquired on much che
by riku_iki 2y ago
> you’ve gone and made rental housing economically unviable
no, there are different slices here, tons of rentals are hyper-profitable now(acquired on much cheaper and with lower interest rates), they will still exist.
> you haven’t really made it feasible for a 19 year old working at McDonalds, or some guy stuck in a crap job in Mississippi
the point is that there will be cheap inventory for them too. Once real estate stopped being attractive investment vehicle, there will be huge outflow of capital which will crash prices, and this will actually put huge pressure on rental prices too.
- seanmcdirmid 2y agoEven if you get rid of all rental housing, the housing market will crash sure, but the labor market will crash at the same time. So that doesn’t help so much in the short term. Ok, when the labor market comes back, we still have N houses but not everyone can afford those houses, the bank holds them and eventually they fall apart due to maintenance issues (why buffalo NY has a housing shortage even though it has half the population it used to). So maybe we can solve them by just giving the houses away to people, I guess? Can they afford to maintain them? Since the market is inflexible, why should anyone build new ones?