California Approves Statewide Rent Control to Ease Housing Crisis
We did it bois, the housing crisis is no more. https://www.nytimes.com/2019/09/11/business/economy/california-rent-control.html
If only there was a way to satisfy demand. Any Econ majors here that can help us out on this difficult one?
I think we need civil engineers to help us with that one đđđ
I've been informed by very reliable blue checkmarks that supply and demand is econ 101 stuff and therefore couldn't possibly work in the real world. They never bother explaining why though, funny that.
This wonât help with rental housing supply. Itâs much more likely that people will turn to buying and selling their homes instead, in order to realize full market value without the government dictating what they consider âfairâ. NYC and SF have exclusively had rent control for decades, yet they remain the most expensive places to live in the country. How brilliant of the left to double down on a failed strategy; probably helps slow the inner bleeding from their hearts.
Whatâs your non leftist brilliant idea then? That att non tech people leave the city?
You do realize that these cities werenât always this expensive. Thatâs how it starts in up and coming desirable areas. Soon, no one but tech snobs will be able to afford housing in safe family friendly areas.
I was considering renting out my house next year. Guess I wonât bother.
Rent control doesnât really solve any issues. It only means your rent will go up more slowly but at the same time there are other ways to increase the costs of living. It also further reduces long term housing supply as other parts of the country become more lucrative for investors. The barriers to eviction could be good if they donât prohibit evicting a non-paying tenant. If I own property and my tenant doesnât pay, I wonât pay my taxes, when the city tries to seize my property Iâll take them to court. You canât force a business (investor) to pay for taxes on a failing (non-income generating) business when the city/state government is the reason they canât generate income. There is a really good freakonomics pod cast on why rent control doesnât work. A better solution could be to incentivize affordable housing development and better mass transit. Though the Californian democrats failed miserable at the mass transit rail they were trying to make before. I know most people on this App are liberal/left and wonât agree with my comment. These are however my thoughts on the matter.
The problem with the supply is how SF/CA approves construction projects. There are currently owners who want to build large housing structures and canât because of the homeowner lobby
Why can't we just have first come first serve? Why can't be ditch supply and demand once for all? Why are we treating housing as a non-renewable resource? Let's say all companies are based on Sunnyvale. Early settlers rent or buy housing in Sunnyvale. Next people go to San Jose, and so on. The people arriving most recently get the farthest place. Good public transportation is provided to farthest people. Rent for Sunnyvale to far off are more or less the same and capped. Apart from that, companies decentralize too, some work is based in Fremont or as far as Walnut Creek too. If man didn't have greed and followed this simple strategy, rents would have been mostly stable. To keep rents in check by evil landlords, companies should ban employees living with these landlords so these landlords are forced to keep rents under control and ensures the tech crowd isn't responsible for rent increase.
If man didnât have greed you wouldnât have high TC. Look at both sides of the equation my friend.
TC wouldn't need to increase if cost of living was under control. Stable rent, stable TCs. TCs would be standard based on skills and experience rather than having this negotiation BS.
Central planners gonna central plan. Now supply will go down state wideđ.
smdh...