The hottest 14 days ever recorded are the last 2 weeks
The hottest 14 days ever recorded are the last 2 weeks
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I have, and I'm not making absurd claims. Zoning issues (including NIMBY) are directly tied to housing values, with the restrictions on construction intended to prevent home values from dropping. They do this by reducing the development of supply in the area. Home builders reduce the number of housing starts and completions take longer when housing prices dip, this constrains supply until demand boils over and purchases new housing. Investment groups buy, rent, and occasionally sell residential properties and the wealth they control allows them to influence market rates and lobby against market reforms.
This isn't some conspiracy theory about how it's a massive organized anti-consumer effort, because it's not. What it is, is a series of natural market forces that all come together to sustain the problem because it's incredibly profitable, and any solution would immediately cut into that profitability. There's no direction to go that doesn't "harm" either builders, investors, or owners, which is why it remains deadlocked and the only government efforts attempted are toothless. Somebody's gonna have to lose potential profits, and there's not a lot of political will to make that happen.
https://journals.sagepub.com/doi/full/10.1177/00961442211029601 https://www.propublica.org/article/when-private-equity-becomes-your-landlord https://www.redfin.com/news/investor-home-purchases-q4-2021/ https://archive.is/8umYO https://www.housingwire.com/articles/homebuilders-are-pushing-through-inventory-backlog/ https://www.weforum.org/agenda/2022/06/affordable-housing-development-nimby/
So precisely the opposite of what builders want, then.
Glad to see you're a YIMBY, even if you're crazy. We'll take everyone we can get
Sure lol, the builders definitely aren't profit driven organizations that operate based on market forces. It's not some insidious thing, just a natural function of capitalism.
But yeah, we can at least agree on the YIMBYism. Out of everything, it at least provides a path forward that people can affect.
How is a builder going to make money if they aren't building lol
Capitalism works when we let it
By selling what they've built? They don't make any money while building. I don't expect you to read all of the links I offered, but at least skim them lol. Slowing completions and reducing starts keeps per unit profits high, as the alternative, cutting prices and accelerating completions and increasing starts boosts revenue but reduces per-unit profits. Small construction outfits have no choice other than continuing to work, but the larger ones can just slow expenses and refuse to move on price until they're purchased.
Capitalism just tries to make as much money as possible. That's only a benefit when human well-being and profit are aligned, and otherwise just inevitably results in monopolies if we let it.
Have another source https://archive.is/tosob
Bro your links are totally unrelated to the discussion.
This is just nonsense. Same team but like, that doesn't mean we need to interact.
Bro.
The first set were, in order, a deep dive on an investment firm and their impact on residential property, the impact of private equity on multi-family residential property, the broad spectrum impact of investors on the residential market, another article on investors driving up home prices, homebuilders drawing down production and waiting out customers at the same price, and the last is a global perspective on the housing crisis by the World Economic Forum.
If you actually read them, you'd recognize literally everything I've said. I get skipping the article on Blackstone, because it's an actual research article, but it details how Blackstone and Invitation Home would buy entire neighborhoods and then use that foundation to manipulate home and rent prices in the entire area, further improving their return on profits.
The one in the last comment was "Capitalism just working" during the pandemic lol. Which is half a joke, but to not see the relevance of the others is just wilful ignorance.