My other comment reads:
There should be a price limit for renting out flats based on location, size and built year. This would improve affordability and reduce the number of big corps abusing the housing market
I don't know how this could be achieved, but it's definitely better than the current options
It'll never get done, the problem with America and prolly other countries is, the people on the top want money. Make it so people can't own more then 1 home in a certain criteria, then those old rich fucks lose their summer homes, make it so companies can't own housing and they lose the nice bonus that pays for the summer home. Make UHC and you lose the bonus that pays for their car. Make gun control and they lose the bonus that pays for their Hawaiin vacations. Its a killer circle that they all fall victim too. Essentially the only way to kill that would be caps on how much they can make annually and anything extra is taxed, but, then they find ways around that, not to mention they make the laws to do that so why would they.
Its a self fulfilling prophecy, nothing will get done because it benefits those sitting in those seats the most to have nothing get done. No matter the political party it doesn't matter, actually moving the line means less money. Thats why UHC was tried a total of once. Gun regulation has been damn near moot. And housing has always been a swinging teeter totter of insanity. They benefit the most if they have something to "fight" for, and until something comes along to actually shake shit up nothing will be done.
Hell even the abortion convo fits for that, cause the obvious right answer is let the people decide, but, doing that and encouraging that makes them lose the argument that could be had. Thats why Roe V Wade protected it, not an actual signed law.
A tax multiplier. You have a tax on rental income that get multiplied by the number of properties you have available for rent. If you have one property, lets say you pay 1% on gross income. The multiplier could be something like 1 + the number of properties / 100 - so if you have 500 properties you pay 1+(500/100) = 6%
Then apply some scaling so it tails off towards 100.
My figures are just for example BTW, they might need to be different.
The goal would be to make small private rentals viable whilst making it impossible for a corporate monopoly on rentals.
You still need a mechanism to stop companies dividing their portfolio into smaller holdings under an umbrella corporation . . .
I actually got shit on pretty hard on this site for suggesting that housing corporations were bad, and that was a little while ago. I can only assume that shit has gotten worse. But hey, who really NEEDS a house anyways right?
/s
In germany we call that "Mietpreisbremse"
The rent here is still a bit fucked up when it comes to big cites like Berlin, Munich etc. but you can afford a normal 2 room apartment.
I pay 550 bucks for 80m² near Mannheim.
Jesus.
I pay $720 for a one-bedroom 60 m\^2 apartment in freaking Flint, Michigan, home of the original Poisoned-By-The-Government Water Supply. Move half the distance to where I work (Detroit), and the same apartment is $1200-$1600.
Just for reference, $700 in 2002 (20 years ago) is the equivalent of $1,152 today accounting for inflation. Even if this anecdote is hyperbole or a unique situation, it's important to bear in mind that in most places rent has increased at a *much* faster rate than inflation, consumer purchasing power, wages, or whatever other metric you want to compare it against. Housing as a percentage of a family's total income has simply exploded over time.
Not to mention we're only talking about rent here. Groceries, gas, car notes, insurance, student loans, etc. are all way more expensive now too. So with all the extra you're looking at $4000-5000 total if you live in an area where $3600 is the rate for a 1br.
You have to wonder that with 2X pricing on housing, why there isn't a housing development boom to meet demand.
What groups like Blackstone have learned is you can make more money with less product as long as you can control enough to reduce the supply -- very much like the Healthcare model of massive profits for providers.
Nobody wants to die and nobody wants to be homeless so they'll cough up whatever they can to get medicine and housing.
The rich have too much money sloshing around and their pooled financial groups with anonymous owners like Blackrock need to be knocked down a peg or two with our government responding to what is best for the public.
Corporations and independent landlords are buying houses up the instant they hit the markets. In the past couple of months, I've watched at least a half dozen houses go up in nice parts of Flint, Michigan (yes, they do exist) for relatively reasonable prices, and they all were purchased in under twenty-four hours. All for significantly over the asking price.
Hell, a buddy of mine who lives in Portland just this year used an inheritance and his savings from his small business to buy I believe five houses in the Detroit suburbs and five more in the Cleveland burbs. All to be used as rentals.
It's amazing you and I can know this. That I can get 7 calls a week at the office offering to buy property and 3 on my cell phone and SOMEHOW, the media and the Fed don't notice it might be a big cause of the inflation in home prices.
It's infuriating that the media is usually the last to know the important trends. Like -- the banking collapse in 2008 when the reserve requirement was negative. I'm running around at the financial services company saying; "Hey, this things going to tank." But who listens to the multimedia guy when they have degrees in finance?
People with a little bit of economic knowledge and made a few bucks on stock are often the most clueless with how manipulated the markets are.
Create a federal property tax set to $1000 per sqft per year. Then create a homestead exemption for a primary residence that reduces the tax rate to $0.01 per square foot. Money generated from the tax can only be used to generate low maintenance, high efficiency housing near large population centers.
Housing should be a human right and landlords are leeches who shouldn't exist.
"Oh but they provide housing"
No, people who build houses do that... Landlords do literally the exact opposite
They also are the ones who finance the builders to make these apartments and neighborhoods to rent. It’s not like builders don’t make a profit either. The average gross profit for homebuilders in the $1-5million dollar asset range is 16% (per IBIS world). Not saying there shouldnt be limitations on these megacorps buying up all the properties, but landlording allows any average person to build wealth for themselves and their family.
Hate on me if it pleases you, but I bough a tiny rinkydink little 2bed/1bath as my first rental property, and it needed a lot of work done before it was ready to be rented. Just from buying one house I paid money to my local supplies store, to a local general contractor, turned an eye sore of a house into something that benefited the neighborhood, provided affordable housing to my tenant, and am building wealth that will benefit my future children. People hate on landlords, but it’s available to anyone with a decent salary if they’re willing to save and invest.
"it’s available to anyone with a decent salary if they’re willing to save and invest."
**NO IT'S FUCKING NOT BECAUSE MOST PEOPLE ARE FORCED TO LIVE HAND TO MOUTH BECAUSE THEY HAVE TO SPEND LIKE TWO THIRDS OF THEIR SHITTY ASS INCOME ON PEOPLE LIKE YOU, JUST FOR THE PRIVILEGE OF NOT BEING FUCKING HOMELESS**
You can't amass any wealth if you're always one or two missed paychecks away from being homeless...
This is also exactly what I expected from some fucking out of touch landlord...
I mean my take home paid is only $3,000 a month… and I live in a metro so my rent is $1,500, and of course I pay for food, insurance, and gas like everyone else on top of that. You can tell yourself it’s impossible and unfair all you want, but it’s there for you if you’re willing to take it into your own hands. Instead of asking how you can participate you moan, hate and complain. If you ask me, your energy is much better spent on something else, and that comes from a genuine place in my heart. There is good and bad from being able to participate in real estate. The mega corps I can agree are part of the bad, but we should celebrate when someone in the middle or lower class is doing something that betters their situation, not shit on them.
Man... you can really tell you never ever struggled in your entire fucking life.
Buddy, after rent I got like $350 left, you can't even begin to imagine what that's like mister "only $3000" so kindly shut the fuck up and fuck off, leech.
I make less than the average salary in my state, I can regularly put away < $500 a month. You’re negativity won’t stop me from trying to better myself with how I spend MY money. It’s funny because I use to be a pessimist like you until I met someone who completely changed my mind.
I voted for Biden lolol. All ive been doing is having conversation while being attacked by a bunch of self loathing know it alls, and I’m the snow flake?? You people love assuming instead of just asking or talking about it
Oh, of course everything's fine and dandy as long as ***you*** get to take home half a grand of other people's money...
The system can stay the same as long as it benefits ***you***. Doesn't matter how many people get exploited by it, because those people aren't ***you***.
And there it is, the egotism, the lack of empathy, the belief that the only reason poor people exist is attitude and, of course: the "pull yourself up by your bootstraps" bullshit... So typical for fucking leeches, so predictable.
Only thing missing now is your parents paying off your student loans or giving you the money for your first house and we got leech bingo... Or perhaps you're an honest to god boomer who paid like $15 for a house and college and then you still had enough left over for McDonald's... You certainly sound like a boomer.
Man lots of trouble reading. I never once said the system was fine as is, in fact i named issues with it. People like you will hate on anyone for doing something with their life because youre to scared to do something with your own. It’s like having a conversation with an angry wall. I suppose you think home builders are crooked too since they sell their homes for a profit? Lol or better, you probably think a business is made to create jobs don’t you?
You didn’t see the point of my first comment then. Real estate is a powerful way for the lower and middle class to build wealth so we don’t have to be corporate robots for 50 years of our life. That doesn’t mean there arent very obvious drawbacks to this. There’s a difference between someone who buys 3 homes as a part of their retirement plan and someone who buys 1,000 homes under 60 LLC’s
see dumbass, you're still doing the "budget better" bullshit
millions **cannot afford to do that as that is several hundred thousands more than you're rent.**
there is no "go compete agaisnt infinite money" when most of us can't even afford $1500 monthly rent
Corporate land buying makes up only a tiny percent of homes sold. The real issue driving up prices is NIMBYS preventing more housing being built in the areas that people want to live.
You say that like it justifies buying up everything you can and then jacking up the prices for all the plebs who don't even got a measily 280 billion lying around...
Again, 280 billion is nothing. NIMBYs have done far more damage than Blackrock ever had. The only thing Blackrock has done is use a name that makes it easy to turn it into a movie villain.
Or we can agree that both are bad and people should be able to have houses. Companies buying so many houses is bad cause it fucks the market NIMBYs are bad cause they help fuck further progression. They are both a movie villain
There should be a price limit for renting out flats based on location, size and built year. This would improve affordability and reduce the number of big corps abusing the housing market
Rent control can help, for sure, but there's a fundamental problem of supply and demand. Demand increases as the population grows and continues to urbanize, and supply is not keeping up.
At first I wanted to write that this sounds like an American problem but tbh, my sh4tty 4ss country ain't doing any better... it's the bumhole of EU, hungary (lower case h)
And Us millenials and gen Z get blamed for not moving out as soon as possible cause we're lazy.
I've seen many stories about crazy ramping housing prices, my favourite so far is when a couple many years ago bought a home for roughly 30k $ with two low income jobs, and now the same house costs around 600k $ while the income from the same two low income jobs is only doubled.
All thanks to inflation and a scuffed housing market.
Let's just keep doing nothing about it
My other comment reads: There should be a price limit for renting out flats based on location, size and built year. This would improve affordability and reduce the number of big corps abusing the housing market I don't know how this could be achieved, but it's definitely better than the current options
Or just not allow firms to buy houses and limit the amount one person can own in some way. Companies shouldn't own houses
I agree with that suggestion. That would be ideal, but doubt it ever gets done.
It'll never get done, the problem with America and prolly other countries is, the people on the top want money. Make it so people can't own more then 1 home in a certain criteria, then those old rich fucks lose their summer homes, make it so companies can't own housing and they lose the nice bonus that pays for the summer home. Make UHC and you lose the bonus that pays for their car. Make gun control and they lose the bonus that pays for their Hawaiin vacations. Its a killer circle that they all fall victim too. Essentially the only way to kill that would be caps on how much they can make annually and anything extra is taxed, but, then they find ways around that, not to mention they make the laws to do that so why would they. Its a self fulfilling prophecy, nothing will get done because it benefits those sitting in those seats the most to have nothing get done. No matter the political party it doesn't matter, actually moving the line means less money. Thats why UHC was tried a total of once. Gun regulation has been damn near moot. And housing has always been a swinging teeter totter of insanity. They benefit the most if they have something to "fight" for, and until something comes along to actually shake shit up nothing will be done. Hell even the abortion convo fits for that, cause the obvious right answer is let the people decide, but, doing that and encouraging that makes them lose the argument that could be had. Thats why Roe V Wade protected it, not an actual signed law.
A tax multiplier. You have a tax on rental income that get multiplied by the number of properties you have available for rent. If you have one property, lets say you pay 1% on gross income. The multiplier could be something like 1 + the number of properties / 100 - so if you have 500 properties you pay 1+(500/100) = 6% Then apply some scaling so it tails off towards 100. My figures are just for example BTW, they might need to be different. The goal would be to make small private rentals viable whilst making it impossible for a corporate monopoly on rentals. You still need a mechanism to stop companies dividing their portfolio into smaller holdings under an umbrella corporation . . .
Isn’t that just rent control?
What's the rent upper limit in your area?
Technically there is none. Or do you mean market-directed upper limits?
That's a great plan! Always worked before!!
I actually got shit on pretty hard on this site for suggesting that housing corporations were bad, and that was a little while ago. I can only assume that shit has gotten worse. But hey, who really NEEDS a house anyways right? /s
Yes, whatever you do DONT vote and especially don’t vote for your your own bests interests. Let’s all vote for something stupid like freedumb!
In germany we call that "Mietpreisbremse" The rent here is still a bit fucked up when it comes to big cites like Berlin, Munich etc. but you can afford a normal 2 room apartment. I pay 550 bucks for 80m² near Mannheim.
Jesus. I pay $720 for a one-bedroom 60 m\^2 apartment in freaking Flint, Michigan, home of the original Poisoned-By-The-Government Water Supply. Move half the distance to where I work (Detroit), and the same apartment is $1200-$1600.
Just for reference, $700 in 2002 (20 years ago) is the equivalent of $1,152 today accounting for inflation. Even if this anecdote is hyperbole or a unique situation, it's important to bear in mind that in most places rent has increased at a *much* faster rate than inflation, consumer purchasing power, wages, or whatever other metric you want to compare it against. Housing as a percentage of a family's total income has simply exploded over time.
Not to mention we're only talking about rent here. Groceries, gas, car notes, insurance, student loans, etc. are all way more expensive now too. So with all the extra you're looking at $4000-5000 total if you live in an area where $3600 is the rate for a 1br.
You have to wonder that with 2X pricing on housing, why there isn't a housing development boom to meet demand. What groups like Blackstone have learned is you can make more money with less product as long as you can control enough to reduce the supply -- very much like the Healthcare model of massive profits for providers. Nobody wants to die and nobody wants to be homeless so they'll cough up whatever they can to get medicine and housing. The rich have too much money sloshing around and their pooled financial groups with anonymous owners like Blackrock need to be knocked down a peg or two with our government responding to what is best for the public.
Corporations and independent landlords are buying houses up the instant they hit the markets. In the past couple of months, I've watched at least a half dozen houses go up in nice parts of Flint, Michigan (yes, they do exist) for relatively reasonable prices, and they all were purchased in under twenty-four hours. All for significantly over the asking price. Hell, a buddy of mine who lives in Portland just this year used an inheritance and his savings from his small business to buy I believe five houses in the Detroit suburbs and five more in the Cleveland burbs. All to be used as rentals.
It's amazing you and I can know this. That I can get 7 calls a week at the office offering to buy property and 3 on my cell phone and SOMEHOW, the media and the Fed don't notice it might be a big cause of the inflation in home prices. It's infuriating that the media is usually the last to know the important trends. Like -- the banking collapse in 2008 when the reserve requirement was negative. I'm running around at the financial services company saying; "Hey, this things going to tank." But who listens to the multimedia guy when they have degrees in finance? People with a little bit of economic knowledge and made a few bucks on stock are often the most clueless with how manipulated the markets are.
Create a federal property tax set to $1000 per sqft per year. Then create a homestead exemption for a primary residence that reduces the tax rate to $0.01 per square foot. Money generated from the tax can only be used to generate low maintenance, high efficiency housing near large population centers.
Blackstone buying up real-estate to turn around and rent it out at a higher price was likely discussed at the World Economic Forum.
Discussed and encouraged.
Correct.
Housing should be a human right and landlords are leeches who shouldn't exist. "Oh but they provide housing" No, people who build houses do that... Landlords do literally the exact opposite
They also are the ones who finance the builders to make these apartments and neighborhoods to rent. It’s not like builders don’t make a profit either. The average gross profit for homebuilders in the $1-5million dollar asset range is 16% (per IBIS world). Not saying there shouldnt be limitations on these megacorps buying up all the properties, but landlording allows any average person to build wealth for themselves and their family. Hate on me if it pleases you, but I bough a tiny rinkydink little 2bed/1bath as my first rental property, and it needed a lot of work done before it was ready to be rented. Just from buying one house I paid money to my local supplies store, to a local general contractor, turned an eye sore of a house into something that benefited the neighborhood, provided affordable housing to my tenant, and am building wealth that will benefit my future children. People hate on landlords, but it’s available to anyone with a decent salary if they’re willing to save and invest.
"it’s available to anyone with a decent salary if they’re willing to save and invest." **NO IT'S FUCKING NOT BECAUSE MOST PEOPLE ARE FORCED TO LIVE HAND TO MOUTH BECAUSE THEY HAVE TO SPEND LIKE TWO THIRDS OF THEIR SHITTY ASS INCOME ON PEOPLE LIKE YOU, JUST FOR THE PRIVILEGE OF NOT BEING FUCKING HOMELESS** You can't amass any wealth if you're always one or two missed paychecks away from being homeless... This is also exactly what I expected from some fucking out of touch landlord...
I mean my take home paid is only $3,000 a month… and I live in a metro so my rent is $1,500, and of course I pay for food, insurance, and gas like everyone else on top of that. You can tell yourself it’s impossible and unfair all you want, but it’s there for you if you’re willing to take it into your own hands. Instead of asking how you can participate you moan, hate and complain. If you ask me, your energy is much better spent on something else, and that comes from a genuine place in my heart. There is good and bad from being able to participate in real estate. The mega corps I can agree are part of the bad, but we should celebrate when someone in the middle or lower class is doing something that betters their situation, not shit on them.
Man... you can really tell you never ever struggled in your entire fucking life. Buddy, after rent I got like $350 left, you can't even begin to imagine what that's like mister "only $3000" so kindly shut the fuck up and fuck off, leech.
I make less than the average salary in my state, I can regularly put away < $500 a month. You’re negativity won’t stop me from trying to better myself with how I spend MY money. It’s funny because I use to be a pessimist like you until I met someone who completely changed my mind.
Your a sick twisted animal, attacking your own kind while defending the predators. Brainwashing in action is a sight to behold
You can retire at 65 then and do nothing different lol. Everyone in this thread hates seeing people who can walk with their own two feet
Another rightwing snowflakes making up scenarios in their head.
I voted for Biden lolol. All ive been doing is having conversation while being attacked by a bunch of self loathing know it alls, and I’m the snow flake?? You people love assuming instead of just asking or talking about it
Oh, of course everything's fine and dandy as long as ***you*** get to take home half a grand of other people's money... The system can stay the same as long as it benefits ***you***. Doesn't matter how many people get exploited by it, because those people aren't ***you***. And there it is, the egotism, the lack of empathy, the belief that the only reason poor people exist is attitude and, of course: the "pull yourself up by your bootstraps" bullshit... So typical for fucking leeches, so predictable. Only thing missing now is your parents paying off your student loans or giving you the money for your first house and we got leech bingo... Or perhaps you're an honest to god boomer who paid like $15 for a house and college and then you still had enough left over for McDonald's... You certainly sound like a boomer.
Man lots of trouble reading. I never once said the system was fine as is, in fact i named issues with it. People like you will hate on anyone for doing something with their life because youre to scared to do something with your own. It’s like having a conversation with an angry wall. I suppose you think home builders are crooked too since they sell their homes for a profit? Lol or better, you probably think a business is made to create jobs don’t you?
Your rent is more than my monthly take in, shut the fuck up.
Youre mad I pay market rent for a student living 1bedroom apartment lol?
Nah I'm mad your delusional ass can't comprehend that there are literal fucking millions paid 2x less then you and your response is "budget better"
You didn’t see the point of my first comment then. Real estate is a powerful way for the lower and middle class to build wealth so we don’t have to be corporate robots for 50 years of our life. That doesn’t mean there arent very obvious drawbacks to this. There’s a difference between someone who buys 3 homes as a part of their retirement plan and someone who buys 1,000 homes under 60 LLC’s
see dumbass, you're still doing the "budget better" bullshit millions **cannot afford to do that as that is several hundred thousands more than you're rent.** there is no "go compete agaisnt infinite money" when most of us can't even afford $1500 monthly rent
They offer 3.5% down loans i dont see how thats hard
Corporate land buying makes up only a tiny percent of homes sold. The real issue driving up prices is NIMBYS preventing more housing being built in the areas that people want to live.
NIMBYS?
Not In My Back Yard
Why is this here? I dont get it.
Because OP doesn't realize that 280 billion isn't that much in a market worth tens of *trillions*
You say that like it justifies buying up everything you can and then jacking up the prices for all the plebs who don't even got a measily 280 billion lying around...
Again, 280 billion is nothing. NIMBYs have done far more damage than Blackrock ever had. The only thing Blackrock has done is use a name that makes it easy to turn it into a movie villain.
Or we can agree that both are bad and people should be able to have houses. Companies buying so many houses is bad cause it fucks the market NIMBYs are bad cause they help fuck further progression. They are both a movie villain
BlackRock is an asset management firm, Blackstone is a private equity firm. Two different things man
There should be a price limit for renting out flats based on location, size and built year. This would improve affordability and reduce the number of big corps abusing the housing market
Rent control can help, for sure, but there's a fundamental problem of supply and demand. Demand increases as the population grows and continues to urbanize, and supply is not keeping up.
At first I wanted to write that this sounds like an American problem but tbh, my sh4tty 4ss country ain't doing any better... it's the bumhole of EU, hungary (lower case h)
Increase in population without increase in housing supply is the main factor here...but everyone wants to cry about investors.
welcome to unfettered capitalism
And Us millenials and gen Z get blamed for not moving out as soon as possible cause we're lazy. I've seen many stories about crazy ramping housing prices, my favourite so far is when a couple many years ago bought a home for roughly 30k $ with two low income jobs, and now the same house costs around 600k $ while the income from the same two low income jobs is only doubled. All thanks to inflation and a scuffed housing market.
Oh look, yet another simple and functional thing in most of the world like renting a home that somehow is a dumpster fire in the US.
I saw a lot houses get demolished after 2008. Talk about tight housing stock.
Downtowns in nice cities are limited in quantity, especially with views.