Biden Proposes 5% Rent Control Cap

cawacko said:
It’s election season so that means politicians do what they do best, propose horrible economic ideas under the guise of looking like they are doing something “for the people”. This is one of them.

Rent control does one thing really well, reduce incentives to build and increase prices. Because he’s trying to tie it to corporate landlords it could play well to those who don’t understand how markets work.

The only saving grace is it will probably not become legislation.

https://twitter.com/x/status/1812918420423254480
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the long term fix for our economy is rejecting globalization extremism.

anything else is fingers in the dyke.......


https://flic.kr/p/sHFeZ
 
archives said:
No you didn’t, you asked how it wasn’t “way out of bounds for the United States Government to control? And as I replied, as the same way they give landlords tax breaks

Seems you aren’t aware that this so called control is done via tax credits
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again tax policy is something they do.

price controls?

go eat shit retardo. you are too dumb to waste time on. best to just point and laugh
 
archives said:
It is a two year program to address current high cost of housing. It doesn’t apply to new construction, small or mom and pop operations, and isn’t directly price controls
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Why Price Controls Should Stay in the History Books​

www.stlouisfed.org

Why Price Controls Should Stay in the History Books

Prices allocate scarce resources. Price controls distort those signals, leading to the inefficient allocation of goods and services.
www.stlouisfed.org www.stlouisfed.org
 
cawacko said:
Reread my first paragraph. I didn't say this was unique to Biden. But real estate is my world and that's why I post about it and this proposal is being talked about in real estate circles today.

There's a lot written about it, Jay Parsons tweet thread (post #2) has some pretty good insight into why this is a bad proposal.
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Not really fond of addressing tweets, but you are aware, as I noted, it is a two year program, and effects landlords who only own more than fifty properties. It also doesn’t include new construction and is levied via reducing tax benefits for those that violate the five percent

Aim I believe is too address the current escalation of rental fees and not to establish any long term program.

When doesn’t the landlord arena not view any restriction on their fiefdom as draconian?
 
zymurgy said:
again tax policy is something they do.

price controls?

go eat shit retardo. you are too dumb to waste time on. best to just point and laugh
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Exactly, they are employing tax policy, tax benefits, to temporarily control rent, you going to tell us next that tax policy isn’t used on a regular base is to stimulate or control the economy?
 
I am a landlord

This is fine with me

In fact I keep very close to what this law does just out of HUMAN DECENCY!
cawacko said:
It’s election season so that means politicians do what they do best, propose horrible economic ideas under the guise of looking like they are doing something “for the people”. This is one of them.

Rent control does one thing really well, reduce incentives to build and increase prices. Because he’s trying to tie it to corporate landlords it could play well to those who don’t understand how markets work.

The only saving grace is it will probably not become legislation.

https://twitter.com/x/status/1812918420423254480
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it’s pretty much human decency


Some humans don’t have much of that
 
archives said:
It is a two year program to address current high cost of housing. It doesn’t apply to new construction, small or mom and pop operations, and isn’t directly price controls
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Per usual they never really read the actual policy ideas
 
cawacko said:
Reread my first paragraph. I didn't say this was unique to Biden. But real estate is my world and that's why I post about it and this proposal is being talked about in real estate circles today.

There's a lot written about it, Jay Parsons tweet thread (post #2) has some pretty good insight into why this is a bad proposal.
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It;'s you middlemen that fucked up the real estate market- to begin with- YOU GREEDY BASTARDS!

You rob people coming and going, and laugh all the way to the bank!
 
archives said:
Not really fond of addressing tweets, but you are aware, as I noted, it is a two year program, and effects landlords who only own more than fifty properties. It also doesn’t include new construction and is levied via reducing tax benefits for those that violate the five percent

Aim I believe is too address the current escalation of rental fees and not to establish any long term program.

When doesn’t the landlord arena not view any restriction on their fiefdom as draconian?
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I referenced the tweet because it lays out well what is being proposed and the issues with it, including what you bring up. (I could rewrite the same points he makes but it’s already there).

The negative effects of rent control have long been studied and reported on. That even liberal economists speak out against it should tell you something.

But it sounds so good on the surface which is why politicians push for it and many people support it even though it drives up prices.
 
archives said:
Not at all, you asked why the Government should be involved in rent and I returned asking why the Government should be given special tax breaks to landlords, of which you obviously have no answer
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The gov't offers incentives to builders because we have essentially a crisis in the under supply of housing and new development is a huge tool in addressing it. When city/state/federal govts make new development so expensive so as to not pencil out it doesn't benefit anyone.

You want to know a big reason so many people view, and have viewed, the economy so negatively? The cost of housing and the idea that the American dream of owning a home is far out of reach for many people. (This board is full of Boomers, most of you who probably own your home and love the appreciation you've likely gotten, so you guys probably don't give a sh*t.)

And price controls (which is what rent control is) have shown over and over to only exacerbate the problem it attempts to solve.
 
cawacko said:
It’s election season so that means politicians do what they do best, propose horrible economic ideas under the guise of looking like they are doing something “for the people”. This is one of them.

Rent control does one thing really well, reduce incentives to build and increase prices. Because he’s trying to tie it to corporate landlords it could play well to those who don’t understand how markets work.
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In short: Price controls NEVER work. They ALWAYS lead to shortages.
 
Nordberg said:
The problem is financial companies are buying up single family homes by the boatload. They are doing that to get more control over the market. They will not be lowering prices.
https://nypost.com/2024/04/29/busin...-wall-street-from-buying-single-family-homes/ The Dems are fighting the next great oligopoly. The wealthy want the power to fleece the people and Trump will give it to them in a heartbeat if he wins.
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You're like TDAK man, copy and paste the same thing over and over.
 
archives said:
Goes way beyond just deducting expenses, also can include such as avoiding corporate tax and personally liability, there was a reason that Trump didn’t pay tax for over ten years
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ah you mean depreciation.....don't know a whole lot about real estate I see......
 
archives said:
Not at all, you asked why the Government should be involved in rent and I returned asking why the Government should be given special tax breaks to landlords, of which you obviously have no answer
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there are some government programs offering tax breaks for low income and senior housing......I've also heard recently of some new federal programs funding housing for illegals.......is that what you are referring to?......
 
cawacko said:
The gov't offers incentives to builders because we have essentially a crisis in the under supply of housing and new development is a huge tool in addressing it. When city/state/federal govts make new development so expensive so as to not pencil out it doesn't benefit anyone.

You want to know a big reason so many people view, and have viewed, the economy so negatively? The cost of housing and the idea that the American dream of owning a home is far out of reach for many people. (This board is full of Boomers, most of you who probably own your home and love the appreciation you've likely gotten, so you guys probably don't give a sh*t.)

And price controls (which is what rent control is) have shown over and over to only exacerbate the problem it attempts to solve.
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It is only meant as a temporary fix to deal directly to the current situation, can’t see how this is going to drive up prices today even further
 
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