Economists almost unanimously agree that rent control is a short term reprieve that causes long term problems.
Don’t control rents, control land values with land value taxes (not the same as property taxes)
If you take away the profit motive for owning a home, the whole current system collapses and housing returns to the price it should be based on it’s usefulness as a house not an investment.
The full context of this is economists don’t think it’s a long term solution but their other proposed solutions is even less accepted by politicians and the masses.
As such like many of the larger problems we have we’re left with a temporary solution that’s implemented long term.
When people criticize rent control at best what they’re saying is if we bottom out on a problem the only way we could go is up. Ala electing Trump.
Their other proposed solutions aren’t accepted by politicians and the masses, because there’s too many people benefitting from the system fucking the next generation to want to change it. We’re literally living in the largest pyramid scheme ever constructed.
Montreal had rent control for a long time and renting only became a problem when the bubblification of real estate got imported to Quebec from the rest of Canada.
And what, exactly, are the long-term problems? The most common one I’ve seen sited is that they don’t maintain properties, but there are solutions to that. Economists just don’t seem to be willing to discuss anything that isn’t some kind of private market solution.
“We can’t do anything that reduces landlord or developer profits” is trying to solve the problem with both hands tied behind your back and a ball gag firmly in place.
Second, I think you misunderstood me. I’m advocating for removing their profits almost entirely, or at least the portion of profits attributed to the increase in land value that they had no part in improving.
I just think that rent controls are a stupid way to attempt to do it because they don’t apply to new units and they often have loopholes. Rent controls can also exacerbate the problem where new units get rented for much higher prices, to try to compensate for the fact that they won’t be able to increase them over time. There definitely isn’t enough supply to stop that issue happening.
Economists almost unanimously agree that rent control is a short term reprieve that causes long term problems.
Don’t control rents, control land values with land value taxes (not the same as property taxes)
If you take away the profit motive for owning a home, the whole current system collapses and housing returns to the price it should be based on it’s usefulness as a house not an investment.
The full context of this is economists don’t think it’s a long term solution but their other proposed solutions is even less accepted by politicians and the masses.
As such like many of the larger problems we have we’re left with a temporary solution that’s implemented long term.
When people criticize rent control at best what they’re saying is if we bottom out on a problem the only way we could go is up. Ala electing Trump.
Their other proposed solutions aren’t accepted by politicians and the masses, because there’s too many people benefitting from the system fucking the next generation to want to change it. We’re literally living in the largest pyramid scheme ever constructed.
Montreal had rent control for a long time and renting only became a problem when the bubblification of real estate got imported to Quebec from the rest of Canada.
Renting only became a problem when it became a problem elsewhere… oh… well then it looks like it didn’t work well did it.
The Canadian rental market, famously a victim of rent control.
Who said anything about the Canadian market having tried rent control?
Plenty of other places have tried and failed at it though.
And what, exactly, are the long-term problems? The most common one I’ve seen sited is that they don’t maintain properties, but there are solutions to that. Economists just don’t seem to be willing to discuss anything that isn’t some kind of private market solution.
“We can’t do anything that reduces landlord or developer profits” is trying to solve the problem with both hands tied behind your back and a ball gag firmly in place.
First, it’s Cited, not Sited.
Second, I think you misunderstood me. I’m advocating for removing their profits almost entirely, or at least the portion of profits attributed to the increase in land value that they had no part in improving.
I just think that rent controls are a stupid way to attempt to do it because they don’t apply to new units and they often have loopholes. Rent controls can also exacerbate the problem where new units get rented for much higher prices, to try to compensate for the fact that they won’t be able to increase them over time. There definitely isn’t enough supply to stop that issue happening.