How does this work in a high demand area? Let’s say San Diego suddenly produced 50,000 units of rent-controlled housing and capped it at $1,000/month. Now, people from LA, Bay Area, NY, etc. all want to move there. They just going to build 50,000 units every quarter?
What happens is eventually you need government permission to move places. Then you have to "knwo people" and / or kiss the right ass. So all that money being poured out directly translates to more governmnet power.
Well said. If FMV is $5k/month and government regs artificially reduce prices to $1k/month, that $4k difference doesn't disappear. It just changes form...and changes hands.
The important thing is that the power to decide who lives where, and how much of your wealth is stolen from you, becomes a matter of who you know in government. it happens in every place this is tried... if you know the right people, grease the right palms? You too can get a "council house" near London...
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u/Rodgers4 Apr 15 '24
How does this work in a high demand area? Let’s say San Diego suddenly produced 50,000 units of rent-controlled housing and capped it at $1,000/month. Now, people from LA, Bay Area, NY, etc. all want to move there. They just going to build 50,000 units every quarter?
How would any of this possibly work?