3 ms·

this tl;dr misses the import part: "Homeowners have a strong economic incentive to restrict supply".

• peterwwillis 13y ago
  What homeowner has a strong economic incentive to flood the market with more affordable housing, driving down the value of their own?
  • dllthomas 13y ago
    A homeowner who isn't planning on selling (or borrowing against the asset) anytime soon, and whose taxes move with the market price of housing.
    • akgerber 13y ago
      Property taxes don't move in line with the market value of housing in California, unfortunately.
      • dllthomas 13y ago
        That's precisely the point.
    • peterwwillis 13y ago
      Oh, right. People who don't care about the value of their home [investment].
      • dllthomas 13y ago
        It's not an investment, it's a hedge.