Who benefits from the eviction moratorium?
In the short-term it benefits the renters.
In the short and long-term it hurts the current property owners.
Cities and counties and banks will foreclose for tax and mortgage non-payment.
They don't want the hassle of managing property regardless of how much some of them might like the power.
They will auction them for what the market will bear.
Companies with money to invest, companies like Blackstar and the firm managing the Gates' fortune are in the market for property.
The Harris/Biden eviction moratorium ends up being an epic gift to those kinds of firms.
I wonder if Hunter is on the board of either company. I have no doubts that those firms make donations to Progressives.
One hand washes the other.
City budgets will crater as property taxes are based on property values. Many of the properties will be GIVEN to management firms as that will be cheaper than demo or the city running them. "Impossible!" you say? Obama GAVE Chrysler to Fiat Motors. Every design. Every factory. Every tool.
The property taxes on a property assessed at $0 will be zero.
The Federal.gov will back-fill with funding but it will come with many conditions. The Federal grip on cities will tighten. Funding from areas where homes are traditionally owner-occupied will flow to the cities.
THere will be some silver linings. Bad tenants, the ones who destroy properties, will find it harder to rent properties when most of the rental base is owned by two mega-corps. They will either have to move out-of-town or find a property not controlled by the little-guys who hang on.
You nailed it. More war on the middle - upper-middle class. That rental real estate is a significant source of wealth among the non-elite class.ReplyDelete
The big corporations (who make tasty campaign contributions) scooping up rental properties now will benefit as middle-class landlords give up from not being paid for all this time with no relief.ReplyDelete
This insanity is by design.
I have said for many years that the best two days of my life were when I got rid of my last rental and my ex-wife. And all of this going on now has just reinforced that. And btw if you ever sell property do not carry the paper. Especially a land contract as that is a disaster waiting to happen.---kenReplyDelete
And given the lack of maintenance I've heard of these big companies doing, most of these houses will be unusable in a decade or less, further reducing an already tight housing supply in any urban areas.ReplyDelete
I'd be really interested to see a map of where these companies own homes. My presumption is that most of their homes are in suburbs of big cities...