>Be me>Make $50k per year before tax (taxes which in Sweden are very high)>Comfy life, DCA $1k into bitcoin every month>There is nation wide rent control in Sweden>No exceptions>This means the value of rental buildings is much lower than ordinary condos, about 30-50% lower.>Rent apartment in Stockholm city>My landlord wants to sell the building>There is a law stating that the people living in the building can form an association and get the right to purchase the building in place of the eventual buyer>If this happens it converts all the apartments in the building from rented to a normal condo>Meaning that the value of the property changes from the controlled rented market to the open condo market>They sell the whole building for half price compared to normal non-rental properties>So we get to buy it for the same price as the other buyer, which is just another landlord>Tfw I just paid $270k for an apartment worth $500k+ on the open marketSocialist economic policy just 5x'd my net worth. Thank you rent control and thank you Keynesianists for bringing us the most retarded economic policys known to man.I was lucky and got my apartment after 7 years in the housing line, because of an age-restriction for the application, but some people in Stockholm will wait up to 40 years in the housing line just because of the strict rent control.Is there any socialist economic policy that doesn't create these stupid incentives? Price control didn't work for cars in the Soviet Union, of course it won't work for apartments either.
>>61029584this retard is seriously complaining about having paid low rent.
>>61029584>discover that landlord has not repaired $2.5 million worth of structural issues>condo association increases monthly fees to $2500/month
interesting but sweden seems even more more retarded now
BASED!
>>61029584>i shudder to think of the poor jewish landlord who lost out on all of those shekels.... never forget...
>>61029584You are Jewish, not Swedish. But live like a Gypsy Balkan-tier Middle Eastern turd retard
>>61029584The truth is the average person has little understanding of economics and its impossible to explain to them why price controls are a bad idea which gives an opportunity for populists to capitalize upon. Rent control is a convenient easy "solution" for politicians to enact.
No wonder Europoors are even more dysgenic than US capitalist outcomes.
>>61029895Rent control doesn't just hurt landlords, it hurts everyone except people who already live in a rent controlled apartment and have no desire to ever move. Rent control causes a housing shortage, and then mandates that housing be rented out below market rate, so you end up with high income people in below market rate housing which is just unnecessary while low income newcomers can't find any housing at all because rent control caused a shortage.
>>61029584You're whining about benefitting.
>>61029895Developers won't build new units if they cannot profit from them, retard.This means shortages for most people and high prices for buildings not under rent control.Economic illiteracy is a disease.
>>61029895>DA JOOOOOZgo back
>>61030447natsocs are just commies replace jews with capitalists in all of their posts and it all makes sense
>>61030439nyc, famous for never having new buildings built, has rent stability on ~50% of all rentals.>>61030447>>61030470in another 10 years im going to be feeding both of you feet-first into a replica ja topf & sohne incinerator.
>>61030494>nyc, famous for never having new buildings built, has rent stability on ~50% of all rentals.Is this supposed to be sarcasm? NYC has a major housing shortage due to underbuilding. Meanwhile, southern cities build as much as construction costs relative to demand allows and none of them have any rent control. The bottleneck is simply financial institutions ensuring that the apartment buildings that have already been built are going to fill up, and once its clear that is the case more is built.
>>61030494>nyc, famous for never having new buildings built, has rent stability on ~50% of all rentals.>proving my pointuhhh okay, thanks I guess??
>>61030523don't forget japan and south korea which said fuck zoning and let people build whatever the fuck they wanted. they have some of the cheapest rent to income ratios in the worldgod I hate leftists so much
>>61029584Damn.This is how it should work, btw. People putting hundreds of thousands of dollars into rent over two or three decades so that a landlord with (((good credit))) can pay off the mortgage and own it outright is a market distortion. It funnels wealth to people who didn't do any work. Forcing the owner to sell below market rate, allowing long-time renters to enjoy instant equity, helps fix that distortion. Kudos to Sweden.
>>61029873I'm laughing because I'm sure this makes a lot of people so mad. TimmyTurnerWish.png coming true.
>>61030528yes, the best thing to do is to make the real estate market as close to a free market as possible. If a city wants to exclude land use types through zoning, they must have to prove that a particular land use will lead to negative externalities (and more population or muh street parking does not count). Rent control should be eliminated, unions in the construction industry (including the elevator mafia) should be busted, and foreign labor should be able to come in freely.
>>61030536>sweden did a horrible policy which made everything worse and caused shortages>we should emulate itYou people are actually braindead.It's funny when there are blatant examples of the opposite of your ideology working in Japan and you simply ignore it.You're in a cult.
>>61030548>yes, the best thing to do is to make the real estate market as close to a free market as possible.This also means abolishing central banking and fractional reserve banking so we don't have unsustainable housing bubbles.A free market in housing means CHEAP housing and CHEAP rent
>>61030523>Is this supposed to be sarcasm? NYC has a major housing shortage due to underbuilding.NYC has a major affordable housing shortage due to underutilization by squatting landlords. Half of entire buildings in Billionaire's Row are empty.
>>61030551>NO argument>Bringing up Japan without an understanding of why lax zoning works there (sort of, because it's dangerous and helped contribute to the 20,000 dead in the 2011 tsunami)I bet you're against bike lanes and mass transit.
>>61030561>NYC has a major affordable housing shortage due to underutilization by squatting landlords.Unoccupied housing rates are actually quite low. The ones that are unoccupied is because rent control made these units unprofitable. Landlords lose money if they fixed up the units to a rentable condition.Why do places/countries without rent control not have this problem?You people are in a cult.Also yes, NYC has a severe lack of new units being created.
>>61030561NYC has a residential vacancy rate of 1.4% which is ridiculously low
>>61030571>>NO argumentI had one, commie.>of why lax zoning works thereBecause it works everywhere. They have building codes too, genius. It's just they don't have absolutely retarded NIMBY restrictions like NYC and san fran do.>I bet you're against bike lanes and mass transit.walkable shitties cuckold detectedI'm not against those things btw, I just don't want the government funding them, in the same way I don't want the government funding roads.
>>61030588Leftists won't listen to facts. They're literally in a religious cult.
>>61030561>>61030588Also let's think about this for a second. Why would 'squatting landlords' pay full property tax on a unit, then leave it vacant and collect no rent? What is the logic? How do they gain by leaving it empty?
good luck selling it for 500K btw, you are poor even for Bulgaria
>>61030628I love this point too.Just asking this simple question causes their brain to explode kek
>>61030628they are so rich they don't care
>>61030628https://www.usbank.com/investing/financial-perspectives/investing-insights/what-is-tax-loss-harvesting.htmlalso commercial credit availability is tied to portfolio valuation so they have an incentive to sit on empty units rather than induce a realize loss as their portfolio is revalued at a lower cost (as evidenced by lower realized rents.)you sound very unsophisticated.
>>61030571>nooo we need more regulation in case of some black swan event or act of god hurts some people>millions of homeless? that's just fine, we'll feed them fentanyl so they can be happy
>>61030669okay but WHY are their units unprofitable/unrentable in the first placeRent control, duh.
>>61030669How many units do you believe this is happening with exactly?Again, NYC's residential vacancy rate is merely 1.4%
>>61030447
>>61030589>walkable shitties cuckold detected>I just don't want the government funding themNailed it. All related (fallacious) opinions discarded. You don't even understand the role Japan's quasi-public transit infrastructure plays in keeping prices low.>>61030674Japan is a disaster magnet and has been since time immemorial. Half the reason for their approach to housing is that they KNOW shit is going to happen unexpectedly somewhere in the country.
>>61030628They borrow against their equity and put it in "productive" assets (other Wall Street grifts). Also, there's zero chance the property taxes are being assessed correctly.>>61030578>>61030588>Unoccupied housing rates are actually quite low.Oh, you believe the official numbers that don't include empty units bought as investment properties, units that have been in a state of renovation for 20 years, and units where one person is living in 2-3k square feet by themselves. Let me laugh even harder.
>>61030578>>61030628Also neither of you have any excuse not considering the investment property issue because it was literally in that earlier reply.
>>61030447uh oh, malding
>>61030979>You don't even understand the role Japan's quasi-public transit infrastructure plays in keeping prices low.what? lmao european cities have similar muh walkable cities with mass transit and yet they have insane housing unaffordability>>61030989>Oh, you believe the official numbersOh I see, you're a conspiracy theorist.>that don't include empty units bought as investment propertiesWhy exactly wouldn't they rent it out as well to get extra income?>units that have been in a state of renovation for 20 yearsAgain because rent control makes it unprofitable.This is so simple I can't believe you can't grasp it.
>>61030125>>61030439I love the seething about rent control. I'm a leaf and they removed rent control on buildings built after 2018. Guess what happened? Rent costs keep going up retarded amounts, now zoomers pay $700/month more on rent than I do, housing is still retardedly expensive, and there's no mass building underway to meet the demand.LOL
>>61031131>Guess what happened?I read into this shit.They built new units and prices went down?>Rent costs keep going up retarded amountsBoth housing prices and rents have declined.What are you even talking about?None of what you're saying can refute the fact places with no rent control have CHEAPER rent like japan and texas cities
why would anyone in Sweden ever build an apartment if they are all rent controlled? Wouldn't they just build condos instead?
>>61031131>and there's no mass building underway to meet the demand.also why do you think demand increasedis it because your shitty country imported half the third worldnah couldnt be that
>>61031141>Both housing prices and rents have declined.Nope>>61031173>imported half the third worldOh so it's not rent control that's the problem? It's actually immigration that's caused high prices? Glad we agree.
>>61031194>NopeWhat? It went up a lot during covid but after 2022 housing prices and rents both fell quite a bit.>Oh so it's not rent control that's the problem? It's a multifaceted problem.Imagine if they didn't abolish rent control and didn't build all of those new units, prices would be much higher than they are today.Another big problem is the insane zoning and building restrictions.
>>61031108>what? lmao european cities have similar muh walkable cities with mass transit and yet they have insane housing unaffordabilityNo, not like Japan. Some execs commute by bullet train. That means they can be more than a hundred miles out and still have a normal schedule. Even a regular person can be 50 miles out, which is a stupid commute in America. 1.5 hrs versus 3. The pressure transit takes off of city-center housing is ridiculous and there's really no other country that gets even close. Have you been there? I have. >Why exactly wouldn't they rent it out as well to get extra income?Because it's not a cash flow-generating asset, it's a store of wealth. That's like asking why whales don't lend out their bitcoin; the risk involved in letting someone else get their grimy hands on your asset is too great compared to its intended utility.>Again because rent control makes it unprofitable.It should be unprofitable. Housing is a utility, you pay a bit to keep it running and it pays out dividends in stability and such.Your understanding of this is unsophisticated, bruh. Next, you're going to say something stupid like, "Prices will fall if we just build more."https://www.urban.org/urban-wire/building-more-homes-isnt-enough-solve-housing-crisishttps://graceblakeley.substack.com/p/building-more-wont-fix-the-housingOh, look, the second one even throws you a bone about the necessity of scrapping overbearing zoning.
>>61031235Also, if you want to do it Japan's way, you have to do more equitable house sizing. They technically have more square feet of housing per capita, but the average house size is smaller. Rich people have much smaller houses than in America. Part of the affordability is the density.
>>61029584My mom had a similar event years ago, rent appartment, they sell it for 20k€ (200000kr) and its instantly worth 100k€ (same day) years later, she sold it for 400k€.
>>61031235>Some execs commute by bullet train. That means they can be more than a hundred miles out and still have a normal schedule. Even a regular person can be 50 miles out, which is a stupid commute in America. 1.5 hrs versus 3. The pressure transit takes off of city-center housing is ridiculous and there's really no other country that gets even close. Have you been there? I have.This has almost nothing to do with housing costs but okay.It seems your grasping for straws.>Because it's not a cash flow-generating assetIt COULD be. It would be free money they're leaving on the table. Why wouldn't they want more money on top of their store of wealth?>That's like asking why whales don't lend out their bitcoinMany of them do.>the risk involved in letting someone else get their grimy hands on your asset is too great compared to its intended utility.Letting someone rent your unit temporarily is very low risk compared to someone losing your entire net worth.>It should be unprofitable.You're unironically retarded and want the poor to suffer.I accept your concession on the reason why these landlords don't rent out their units, the answer is clearly rent control and you have no refutation. kek>Your understanding of this is unsophisticated, bruh.You got btfo on every point in this thread and are completely ignoring points that debunk you lol>Oh, look, the second one even throws you a bone about the necessity of scrapping overbearing zoning.You're unironically retarded and don't even support that.
>>61031262>They technically have more square feet of housing per capita, but the average house size is smaller.Because people are ALLOWED to build housing like that and in a wide variety of areas.Why do you keep proving my point? >Part of the affordability is the density.Yes. Zoning and regulations.My point exactly.Also no rent control lol
>>61030548>let's outsource more labor and incentivize companies to do soIt's worked great so far, so sure.>>61030559>IF EVERYONE WOULD JUST--Hoping everyone would "just" do anything to make your idea work is always nice to fantasize about, but they're not going to get rid of their stupid banks and their stupid infinite meme money glitch. Even when it crashes to zero like it always does, they'll go right fucking back to doing it again the second they can get away with debasement.
>>61029584rent is out of control
>>61029873I feel like they're meant to be gay and she's just a surrogate given that the black dude puts his head on the white dude at the end.
>>61029584a home should not be counted in that
>>61030125most places don't have rent control proving that the free market scheme will make housing extremely expensive putting rents up in the thousands but at least half of the average income. but of course investors will seethe that normal people can have affordable homes
>>61030153its not rent control that is the problem here. it is the ancient buildings that such cities tend to be filled with that people get so attached to that they are often even protected by law preventing them from being demolished in favor of something more suitable for a modern in demand city
>>61029584Don't worry, I'm sure at least one anon here believes your made up story
>>61037565>>61037589samefag please gorent control is the single most studied topic in economics and literally the only thing that virtually all economists agree is a bad policy. you are a retarded reddit socialist.
>>61039338well the nordic countries are socialist states with super high taxes. cities have non profit companies to build and maintain rental housing so the rent control is no problem as long as the ancient museum structures are demolished or moved out of the way of something that better meets current day demand. the <4 story old buildings that take up a huge chunk of the land are the real problem here
>>61039367yeah and nobody in those countries makes more than a guy driving for ups in america. that includes doctors. they suck. the real estate costs nearly twice as much in a lot of the locations while everyone gets paid quite literally half as much for any career.this is exactly what i would like to avoid in america.
