Experts told lawmakers that families that needed mortgages were being outbid by private equity landlords with all-cash offers, and that they were jacking up rents, piling on junk fees, neglecting repairs and fueling eviction rates that local officials called destabilizing.
By 2024, it had gotten so bad that Rep. Pat Ryan, D-N.Y., demanded a Federal Trade Commission investigation. Ryan warned that private equity firms could control 40% of the single-family rental home market by 2030. (That’s non-apartments, or standalone homes that people rent to live in.)
This is why we can’t build ourselves out of this, private equity firms will own it all anyway. Also, trickle down housing won’t work because of this, even though it would take 30 years for it to work anyway.
I’m honestly surprised to see there isn’t more of a push from the parasites to “build our way out” of this via government subsidies for new construction. They get to buy a cheaper new house but still charge “market rate” extortion prices for rent.
I see you haven’t experienced the “We need more luxury apartments!” crowd like we have here in Seattle.
more luxury apartments means rich people aren’t buying shitty old apartments and renovating them.
where i live everyone is buying old housing stock, and taking a million dollar home and making it 3 million dollars.
why? because there aren’t new homes for them to buy. because every town/city/neighborhood refuses to allow any new development and downsizes every housing project by like 30%.
That’s an incorrect conclusion. I don’t think you understand that most everyone wants the older stock first. Wealthy and poor want good construction with a lot of room, and for as cheap as they can get.
Oh God… Lol we almost had that somewhat recently but the “muh property value” people came out in force and stopped an apartment complex from being built.
There is absolutely a push by those people to do that. Why do you think the only solution that gets proposed for this problem is to build more housing for them to buy?
The people in government proposing it are not required to wear labels showing their sponsors like Nascar drivers, so the linkage is not overt or public, but I absolutely believe that is why that solution is always the one presented in media and government. And, like the dummies that most Americans are, they see it in the media and start pushing for it themselves, because someone told them that’s the answer.
This is actually an area where some tenant rights laws should be added or may already exist and just need to be enforced. Once private equity is forced to realize that rent comes with risk, the problem will likely go away as they divest from direct ownership.
ok. let’s do nothing then. clearly.
How about we regulate that corporations can’t own more than one building for home real estate? That would do wonders. They also can’t run/own AirBNBs. That would solve a shit ton. Go after the price fixers with everything we’ve got. Another way to fix this corporate greed disaster.
Ok, go run for office and get that bill passed.
Best of luck.
Hawaii passed the AirBNB thing on Oahu. It can be done.