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A comment on Airbnb's Devastating Effect on Canadian Housing. Parent comment

Re:Airbnb's Devastating Effect on Canadian Housing by polski-g on Friday March 08, 2024 @01:32PM (#39644297)
If enough housing was being built, then the expected return on houses would be negative and investors wouldn't be buying them.
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Re:Airbnb's Devastating Effect on Canadian Housing by wubrr on Friday March 08, 2024 @04:18PM (#39646622)
You're ignoring the fact that most of the new supply being purchased by investors means they have more power to increase rents, re-leverage their existing real-estate and buy up more. Continuously increasing real-estate prices and rents until the bubble bursts.

If everything worked based on the most basic econ101 principles, we wouldn't have any bubbles in the first place.

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