pull down to refresh

I do. However, what we have seen is a multinational company that has trillions in assets able to deploy those assets to be able to outbid everyone its not a fair fight at all. Its a slippery slope allowing them to do because it only makes people further dependent on corporations for even their housing. This isnt like buying an apartment building or even building the house those all are set and designed for individuals to by them at the end of the chain.

So do you believe in rent control? If not, why not?

reply
120 sats \ 0 replies \ @kepford 7 Jan

I like how you think

reply

Why are companies like this buying houses though? I mean, they could do a lot of things with their money.

reply

I think because they want to.

reply

LOL,

I was thinking... there is artificial scarcity in the market. Its a very good place to park money since it is insane to do so in many other assets. Banning them seems to me to be a pretty blunt approach and those types of approached tend to have bad consequences.

And plenty of home owners LIKE the cost of housing being high because of how they view their house. As a savings account. That is the deeper problem.

reply

In fact I'm sure that's why Blackstone started this post 2008. Single family homes are a store of value. Whether that is as it should be is another question. It is an entity acting in its own self interest.

reply

Indeed. And if I don't like it, there ought to be a law!

It gets old watching the same movie over and over again. State intervention in markets causes massive problem. Solution? More intervention. The cause? Capitalism.

reply

Exactly. I really think Trump makes things worse with these proclamations. Most people consider him a Republican, whatever that means anymore anyway, so these soviet like centrally planned proclamations become associated with the right.

reply
36 sats \ 0 replies \ @Cje95 7 Jan

Yeah he isnt a Republican. MAGA Republicans are like Conservative Democrats they say one thing and do the opposite.

reply

Big businsesses can outbid consumers on almost everything.

One thing that has traditionally held that back is diseconomies of scale. Supposedly, a big business wouldn't be able to manage this big portfolio of real estate that easily, since the markets are highly localized and physical presence is required to monitor the condition and status of the property.

But it's possible that technology is making these diseconomies of scale go away, making it easier and easier for big businesses to manage a huge, diverse portfolio of varied assets.

See #1404356 for an interesting discussion.

reply

Blackrock has the money and resources to manage owning tens of millions of homes with ease. You divide up the homes based on locations and then leverage property management companies

reply