Once a person owns a home in a location, restricting supply means their home goes up in value, and their neighbourhood stays as cozy as it is today. This is why Georgism (championed by every notable economist for more than a century) is the only way we solve this. A land value tax aligns individual incentives with best social outcomes. People are much more reluctant to sit on unused land if they’re being charged 5% per year in tax. They build up. They aggressively lobby their local politicians to make it as easy as possible to build. Supply booms.
This is a solved problem. It’s not complicated. Austin did it. They cut regulation, developers went crazy building apartments, and rents keep dropping. Landlords have to compete to get tenants now, offering everything from 3 months free rent to gym membership and gift certificates.
whats nuts is people want their homes to go up in value. You pay taxes based on home value. I want my home to be lagging behind everything in the area im not cheering everything getting more expensive. Its like are all these people flipping every two years???
I’m surprised no one has identified the core issue here: local restrictions - NIMBYs. A National Association of Home Builders (NAHB) / NMHC study found that government regulations across all levels (fees, permitting, compliance) account for 40.6% of multifamily development costs on average nationally.
Once a person owns a home in a location, restricting supply means their home goes up in value, and their neighbourhood stays as cozy as it is today. This is why Georgism (championed by every notable economist for more than a century) is the only way we solve this. A land value tax aligns individual incentives with best social outcomes. People are much more reluctant to sit on unused land if they’re being charged 5% per year in tax. They build up. They aggressively lobby their local politicians to make it as easy as possible to build. Supply booms.
This is a solved problem. It’s not complicated. Austin did it. They cut regulation, developers went crazy building apartments, and rents keep dropping. Landlords have to compete to get tenants now, offering everything from 3 months free rent to gym membership and gift certificates.
whats nuts is people want their homes to go up in value. You pay taxes based on home value. I want my home to be lagging behind everything in the area im not cheering everything getting more expensive. Its like are all these people flipping every two years???