Increasing rental taxes will actually lower housing purchase prices in capacity constrained markets. In such markets, landlords are already demanding the maximu

Increasing rental taxes will actually lower housing purchase prices in capacity constrained markets. In such markets, landlords are already demanding the maximum amount their renters can bare. By increasing taxes, the total rent paid by the renters doesn’t increase, but the amount going to the landlords decrease - driving down the price of housing stock. Politicians should be advocating for raising rental taxes, instead they’ve been captured by the rent seeking landlords who fund their campaigns.