1ºJordy Taylor no it wouldn't. Prior to investors being involved on the scale they have been the last 2 years, rents stayed stable and low for years. 4 years ago I was able to rent a 2 story town home for $900. Fast forward to today, that townhouse is now renting at $2,000 with the market and the manipulated land value increase. When properties are available and not hoarded, there is market balance and no competition like now. If demand is equal, prices can stay regulated.
And as far as the government, why not? It's tax money and they are allowed to make that call. Why not hold companies/investors who are cheating the system, accountable. If you want to own more and negatively affect the market, then own up. Corporations who are buying multiple houses on a block are artificially rigging that land value increasing everyones taxes around them through increased land value which means increase property taxes. Corporations should be held accountable always. Greed has consequences. You want to own more and take away opportunities from the local community, then pay up.
2ºKayla Diane Anderson Because it disincentivizes money printing. The Fed doesn't print money, banks do. When you put money in the bank, they loan it out to someone else yet they tell you that they still have money in your account. They only keep a reserve to cover the withdrawals because they know everyone won't withdrawal everything at the same time. When they lent your money out, the guy that was paid with that loan deposits that money into his bank account, and it gets loaned out again. This happens over and over and over to the point where a bank will make 900% interest on loaning the money to the government on that same initial deposit where as you would only make 3% interest. This is fractional reserve lending. Every time a loan is made, POOF more money was just created. So when you raise interest rates people are less likely to take out loans and that stops too much money from being created and if you raise it high enough can even cause money to be destroyed from the system. When a loan is paid back in full, money is destroyed. That's how it cools inflation. Notice how nobody can afford a home with 5.5% interest? Guess what, if someone wants to sell their home then they gotta lower their price enough until a buyer can afford it right? This starting to make sense yet? Bye bye housing market!
3ºKay Thrasher the average income was $25,000 in 1985 which is about $68,000 today factoring inflation. The average income today also happens to be $68,000. So though incomes where lower they had the same buying power as today. But your home was still nearly 40% more affordable each month even with your 12% interest rate… we can also do the average grocery bill or vehicle price if you’d like. Point is a dollar does not go nearly as far today as it did in the 80s even with your high interest rates… why don’t you tell us what the average bank savings account paid out in interest back in 1985.
4ºMichael Selby please educate me on how raising the interest rates when all that’s been happening is prices increase the further we go and incomes stay the same is going to “cool inflation” I did read the article by the way so again, please explain this me. I get that savings interest rates will increase, but what about the people who can’t afford to have a savings account because they’re barely getting by comfortable. Or better explain to the people working 80 hours a week who are still unable to provide for their families even though they “make a living wage” at all three jobs
5º️Poor shameful Ukraine are constantly suffering and dying with no protection from world government. They are hungry,no food to eat.they are displaced allover the world seeking shelter .
European Union has shun Ukraine but only supplying with shameful weapons which poor Ukrainians don't know how to operate them. It's been two weeks since they got Himars(Multiple rocket launcher system ) but they are still struggling on how to use it. While Boris Johnson took a walk of shame with tail behind his back, Germany Olaf Scholz is frustrated over the German machine that couldn't kick start
6ºJordy Taylor and what makes values go up again? When multiple properties values are sold on the same land for higher......rents go up because of land value = properties taxes primarily. Sure demand plays a role but primarily it is the taxes. Taxes has always been the #1 reason every landlord has used to raise rent. I also pull those tax records to confirm- which are easy to pull from the county accessor office.
You know what hurts people who saved and planned to buy a house like me and made my money worthless, letting investors buy up the market in cash. Most people selling aren't taking bids and down payments aren't enough anymore. I don't feel sorry for anyone buying multiple properties for rental reasons when there are so many people trying to own their own home and make a home. Those investors had their chance and felt that owning more than 1-2-3 properties wasn't good enough. It's greedy. I have absolutely no desire to own a rental because one home is good enough for me. I don't need more than what I need. I'm not greedy and want to take away from the community. :)
7ºDJ Morbidkitty I was born in Austin in 1955 and went to UT. I have seen Austin change over the last 65 years. I have season tickets to the Horns games and still go back a lot. I am not sure I could live in Austin now, but I might have to move back. I am out in Richmond now and all these MAGA's are nuts. I may have to move back for sanity's sake or move out of state. Maybe New England? I have been to about 45-46 (I lost count) of the states and either there or the Pacific Northwest.
8ºLisa Mayfield Norton , he’s right. Although it isn’t just the interest rate that’s putting them out of reach for a lot of folks, it’s the escalation in the sales prices because of low supply coupled with inflation of basic goods. I just sold my home that I had decent equity in and moved to be near family. If I reinvest everything from the sale it will get me an older home with about 200 less sq ft, lower grade finishes and a 30 yr mortgage payment roughly the same as on the home I just sold. Housing markets are similar in the old and new locations. Although there are more homes on the market now than in the recent past, the inventory is really tight and this isn’t even a “hot” area. I can make it work because of where I’m at in life, but I think a family would have significant challenges.
9ºLem Turner like sports,most owners and fans don’t care about injuries when a team goes 2-14. The people in charge gets the axe when things go south. Voters vote with their pockets. They aren’t trying to hear economics 101. All they know is that their wallets became lighter and it just so happen to happen under this administration. The person at the top always takes the blame if it’s on their watch. He campaigned off of getting rid of student loan debt while giving away billions to Ukraine for a foreign war and it looks like Brittney griner may be in Russia for life if they don’t trade them a mass murderer from Russia who killed US citizens. I’m sure the family members won’t take that too lightly. It’s just bad timing for the people in charge on many fronts and I see a clean sweep come election time for Republicans and I’m not even a Republican.
10ºLem Turner so his age is why his approval rating is 20% ? You don’t think it’s people concerned about the job he may be doing currently? Like I said before, most voters vote with their wallets and aren’t trying to hear economy 101. They see a president giving out billions to a non NATO country and we are paying more money in everything else. Go look on YouTube at democrat led talk shows and they’ll even tell you that they aren’t hopeful for the upcoming elections due to what’s going on economically in this country. Especially for the midterms.