I think that’s what s/he was trying to resolve with the doubling of tax on each additional property. It would become cost prohibitive very quickly to have multiple properties.
You would have to close the endless amounts of tax deductions on real estate to make it matter. If they can write off the loss as a business cost than the portfolio will just eat the tax and pass it on to the renters.
Homebuilding is still a business though. You still need someone to risk their money, assemble the materials and crew, complete the project and find a buyer for it.
If there’s no demand for a product no one will build it. There’s always going to be demand for a mythical product that can’t be built. Like cheap housing.
I just spent $2,000 on a handful of wood, shingles, and siding to patch my house up. like 1/10th of a single wide trailer. That’s just the materials i’ll be providing the labor which would normally cost $30-$60 hour.
So it shouldn’t be an investment asset, someone still has to invest in it being built, so that a homeowner may live there.
Ya in an ideal world. Currently the system runs by me fixing up a house and losing $50,000 of my hard earned money so a young family can get a cheap house. I’d preferred if the government compensated me for my contribution to the housing crisis?
Housing shouldn’t be an investment asset, especially in a for profit system, or you’ll just make BlackRock again.
I think that’s what s/he was trying to resolve with the doubling of tax on each additional property. It would become cost prohibitive very quickly to have multiple properties.
You would have to close the endless amounts of tax deductions on real estate to make it matter. If they can write off the loss as a business cost than the portfolio will just eat the tax and pass it on to the renters.
Yes. No single change will solve the problem. It would have to be comprehensive.
And persistent. We cannot get complacent half way through this one.
It shouldn’t be an investment asset.
Homebuilding is still a business though. You still need someone to risk their money, assemble the materials and crew, complete the project and find a buyer for it.
If there’s no demand for a product no one will build it. There’s always going to be demand for a mythical product that can’t be built. Like cheap housing.
I just spent $2,000 on a handful of wood, shingles, and siding to patch my house up. like 1/10th of a single wide trailer. That’s just the materials i’ll be providing the labor which would normally cost $30-$60 hour.
So it shouldn’t be an investment asset, someone still has to invest in it being built, so that a homeowner may live there.
Is that sort of thing not exactly what our taxes should be paying for?
Ya in an ideal world. Currently the system runs by me fixing up a house and losing $50,000 of my hard earned money so a young family can get a cheap house. I’d preferred if the government compensated me for my contribution to the housing crisis?