Re:Oregon passed sweeping housing crisis laws
by wpietri on Saturday July 20, 2019 @09:03PM
(#20489312)
I think there are plenty more than two possibilities, because there are many kinds of "good" that we could be pursuing, some which conflict and some which reinforce.
As an example, One of the major problems for developers in building both housing and office space is how cyclical the markets are. When prices are spiking, developers rush to build. This can lead to gluts, causing big price crashes later on as they try to pay their mortgages.
It's perfectly possible that smoothing out the spikes of short-term price increases results in a more stable, predictable market. That would not only mean it'd be better for tenants, but it'd be better for landlords in that they are more confident they'll have good ROI over time. Risk mitigation can be very valuable in long-term investments.
And of course there are many more possible complex interactions. E.g., if lower turnover means richer social connection and better neighborhoods, then renters might be willing to pay more over the long term, keeping landlord property values up. Or more stable prices mean that people are less likely to, say, vote to expropriate large landholdings and shift to the sort of socialized housing we see in other countries.
So no, I don't think there are two possibilities here.
As an example, One of the major problems for developers in building both housing and office space is how cyclical the markets are. When prices are spiking, developers rush to build. This can lead to gluts, causing big price crashes later on as they try to pay their mortgages.
It's perfectly possible that smoothing out the spikes of short-term price increases results in a more stable, predictable market. That would not only mean it'd be better for tenants, but it'd be better for landlords in that they are more confident they'll have good ROI over time. Risk mitigation can be very valuable in long-term investments.
And of course there are many more possible complex interactions. E.g., if lower turnover means richer social connection and better neighborhoods, then renters might be willing to pay more over the long term, keeping landlord property values up. Or more stable prices mean that people are less likely to, say, vote to expropriate large landholdings and shift to the sort of socialized housing we see in other countries.
So no, I don't think there are two possibilities here.