[Mortgage Is ‘Just A Fancy Bullsh*t Word For Paying Rent For 30 Years To The Bank,’ Says Real Estate Billionaire Grant Cardone — Here’s Why Renting Could Be A Better Financial Move
](https://finance.yahoo.com/news/mortgage-just-fancy-bullsh-t-171148202.html?guccounter=1)
The other thing I didn’t think of is renting makes it a lot simpler to share accommodations. A group of 2-4 people can split the rent on a property that none of them would qualify for individually.
Agreed that the current situation parallels a lot of industries in that it’s concentrating wealth in the hands of those that are already ahead and it’s difficult for new people to become part of that system. Personally, I think the solution for any of these essential goods/services is crown corporations, which creates a standard of service that private industry has to compete with instead of being able to collude to maximize margins.
My solution was an adaptation of the NYC cab medallion system. Each city is allowed to provide medallions for up to a certain percentage of single-family residences to be rental properties and the medallion costs to maintain. It also comes along with rent caps based on the local cost of living and yearly property inspections by the city. One of the towns in my area actually did that last one because they actually care about being a good place to live, so they make some extra money on penalties or the overall property value for the town goes up because all of the rental properties are kept in very good condition. Win(city)-win(tenants)-accountability(landleeches).
Honestly, no city should want more than ~5% of single-family dwellings to be rentals. As you said, it is easier to get out of them. That means less reliable tax revenue, less people invested in the community, and potentially less community. I may be a math major, but I’m not an anthropology or sociology major, so that last one is definitely rectally sourced.
Also, I struggle, being in the exact situation where I need to get out from under an abusive landleech, to say that it is easy to move from rental to rental. Having to come up with 3k when we are already living and to mouth is really hard.
Oh, also, be careful suggesting cohabitation of multiple unrelated adults. Many cities have zoning ordinances prohibiting precisely that behavior. For instance:
Yes, you can have a couple of roommates, but if one of those roommates wants a partner to “move in” it becomes immediately illegal and actually grounds for eviction in some cases since you violated the zoning for the property.
Hmm…. I’ve never heard about those kinds of limits here. It’s not too uncommon for 3-5 people to split a house(which may or may not actually have 3-5 legal bedrooms) around here, though the trend seems to be splitting those houses into 2-3 legal suites, each of which might have multiple bedrooms.
I don’t think a medallion system is a solution though, as I understand that was brought in to artificially lower supply and increase revenue for the cab companies by limiting the number available. I do like the idea of more proactive enforcement of regulations to ensure that housing is kept in reasonable repair, but that can also increase prices since I’d venture most people put up with poor quality rentals due to them being the lowest cost; at least in terms of rent, though utility costs can outweigh that. If there was safe, clean, and affordable housing available then people trying to market sub-standard units wouldn’t get renters and would be forced to either upgrade the unit or sell.
The price hiking to cover the additional “costs of doing business” are specifically why I included a formula-based localized rent cap in the suggestion. The cost of doing business is for the business owners to figure out, not the customers. People have forgotten that. Hence the inflation. Hence the corporate plutocracy for an ad hoc governmental system. If you send someone to a convention, that doesn’t go into your prices, that is a one-time cost that you incurred trying to expand your business. If you have to pay the city to withhold a single-family home from being accessible to ownership by a single family, that is the base market entry cost for being allowed to siphon money from someone who actually does things to get that money. That isn’t something that gets passed on. I also want to add in that only individuals are allowed to own the medallions and they at least have to be residents of the county, if not the city itself. Money moves from the community to the community and builds the local economy instead of being sucked out I to some global holdings company never to be seen again. But that us my radical dream of a way to fix housing and work on the economy in a meaningful way.
It didn’t take much to radicalize me though. Finding out that my landleechs directly obtained 25 rental properties in the city I’m in from landleeche who was retiring, getting a special mortgage that is not even available to us common folk that has basically 0 APR and effectively withholding 25 houses which my wife and I could have probably purchased at the time from going on sale, forcing us to rent instead of own like we wanted. Then treating us like we are the problem when I assert my rights. Yeah. Fuck landleeches, people’s housing is not a meal ticket.