• porous_grey_matter@lemmy.ml
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    3 hours ago

    No, this is just what the landlords say, like how they say raising wages would impact jobs. It’s just not true. Landlords already charge the maximum people are willing and able to pay, they can’t really pass those costs on. Just like how in fact companies hire based on how many employees they need to fulfil their contracts, and it’s only affected marginally by the wages.

    • RamRabbit@lemmy.world
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      3 hours ago

      When a cost goes up for all owners at once, this leads to everyone at once raising rent prices. There is no opportunity for a renter to jump ship to a cheaper property, they all went up. The maximum changed.

      Yes, this will price out many people from being able to afford housing.

      • porous_grey_matter@lemmy.ml
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        3 hours ago

        That would leave properties empty with high taxes, pretty bad financial decision for a landlord. Leaving properties empty to land bank works if they don’t have to pay anything but it would be ruinous in this scenario. They will lower prices.

        • RamRabbit@lemmy.world
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          2 hours ago

          That would leave properties empty with high taxes

          Welcome to New York City. This is already the case.

          • porous_grey_matter@lemmy.ml
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            2 hours ago

            No, it’s not. Currently taxes are not nearly high enough to impact the value proposition of doing that while you expect significant capital gains. Increased property taxes additionally lower property values and exactly counteract that. Those properties are not empty for funsies, their owners expect to make a profit doing that. With stagnating or falling prices and high taxes they will be quickly motivated to sell or rent, at a price a middle class or lower class person is actually able to pay.