How about we ban companies like Blackstone from buying up all the auction homes, lightly flipping them and then putting them back on the market as overpriced rentals?
They’re a big reason for our housing shortage.
You don’t need to ban them, just make them meet the same regulations on safety and zoning that regular hotels have to
what about not allowing companies to buy hundreds of houses as rental property?
It’s not just companies. Individuals are also chain buying places. Establish income from airbnb, leverage for their next purchase.
My real estate agent was buying his 3rd airbnb while I was looking 2 years ago. Dude was in his late 20s.
I’m hoping the house of cards comes crumbling down. Been dealing with housing insecurity as my landlord terminated our lease.
While I do agree with your point, individuals aren’t buying hundreds or thousands of properties. It’s corporations buying up a limited resource that are driving up the prices, not I-own-three-houses landlords.
An individual landlord isn’t buying hundreds of properties, but hundreds of individual landlords (all saying “it’s not my fault, I only own three houses!”) are buying hundreds of properties.
Even if each individual landlord is a good person who’s going to heaven, they still make the housing market worse for everyone else. Their interests are directly opposed to working class people.
There is demand for houses for rent by private landlords. Many people don’t want to rent in a multi unit from a large company, especially in lower income areas. Buying isn’t really a good option short term, especially in lower income areas, as houses don’t appreciate in those areas as much as in higher cost of living areas. If you’re planning on living somewhere for only a few years, then it doesn’t make sense to buy a house.
In the current system, what you’re saying is true. However, if we think of a system where each person can only own one or two houses by law, and houses are therefore much cheaper, buying for a short time wouldn’t be as bad. Potentially there could be a couple of houses owned by each city council to rent out in the short term for people who don’t want to buy.
If we want to be radical (which I do), make housing a right and guarantee it for every citizen. Abolish capitalism and the profit motive for owning multiple houses. Whole system’s fucked as it is right now.
You will still have costs associated with owning a house such as maintenance and repairs. If you buy a house and then have to put a roof/furnace/ major repair then you lost money if you only own the house for a few years.
I had a new furnace put in last year and the cost was less than a month’s rent. Granted, I “knew a guy” but still, the quotes I got from others were two months of rent or less and you’re not going to replace a furnace every year or anything close to that. I’m not renting btw, this was for my own house. I don’t like the idea of being a landlord.
I remember this scene in The Big Short. Steve Carell goes to a strip club.
Same thing happened in Vancouver with people’s utility closets when it became illegal to rent out utility closets short term (already was illegal long term)
It didn’t help home prices but the million dollar closets became worthless
If you think banning Airbnb is going to solve the housing crisis outside touristic spots, I think you might be in for a rude awakening.
Gotta build more, specifically denser, and at a large scale. Probably lots of rentals with landlords not in it for profit, think Vienna-style.
All landlords are in it for the profit. They should instead do more condominiums, so you can own the space you live in. We shouldn’t have to live the rest of our lives paying rent.
True, but he means nationalized, so publicly owned, publicly funded.
Not only is rent there seen as temporary ownership (same in Germany), with really strong protections but the rent itself is like $300-$400 euros a month, barely anything for a top tier apartment that’s basically a solarpunk megabuilding.
I honestly think that’s preferable to paying mortgages for also for-profit banks and ‘climbing the ladder’.
The lack of ownership as an option also prevents the accumulation of such wealth that someone can buy it all out and make it all worse again
I didn’t even think about nationalized housing. Although I’m sure it will be lobbied against hard here in the US.
I don’t like AirBNB and still think they should be banned, but not sure that what the graphic is stating has really panned out in Palm Springs.
According to Redfin, median Palm Springs home sale prices had appeared to drop by about $200k in Sept 2023 (to around $500k), but within two months they were right back close to where they had been before. They’re sitting at about +18.4% year-over-year for median home sale prices. Given that alot of the properties for sale still appear to be in the millions, I’m not sure that they’re representative of what we see in the rest of the country. There may be other data points out there that paint a different picture, that’s just the first thing I looked up.
Additionally if the housing market was in free fall that would impact the tax revenue of the city. Not saying we don’t want to do it, but there are going to be consequences.
City taxes are typically part of the budget and property values determine how much you pay in relation to other properties in the city, not how much your house costs. Say the city budget is $1,000,000 and 100 houses in the city (total), and they’re all equal value. Each house pays $10,000 in property taxes regardless of the value being $100,000or $1,000,000 per house.
Hyperbole and simplification done to make an easy explanation.
That is not true in at least the city I was in before. They set a tax rate percentage and you pay that percent of your home value as taxes.
So when house prices more than doubled during COVID did their tax revenue increase or did they readjust the % to match the new values?
there is usually an assessor that determines the assessed value, and that is the basis for property taxes.
transfer taxes are another matter, as well as capital gains on homes that are not your primary residence.
Yeah, and the assessed value is compared to the other assessed value of homes in the taxable area and that’s how they divide the tax revenue from the value of the house. So if a whole area is in feeefall and loses (or gains) 50% value equally then the taxes would be approximately the same. Every house dropping value and the city government isn’t going to just accept half the budget from property taxes that year, they just reassess and recalculate amounts owed.
they don’t generally reassess every year
