Quote:
Originally Posted by chowhou
https://en.wikipedia.org/wiki/Market_distortionCorporate ownership is often talked about as a "bad" thing but the fact of the matter is corporate ownership does not consume housing supply. There are no vacant properties being hoarded by corporate property owners, they're all (for the most part) rented out and lived in.
In fact, corporate ownership is good because corporations are now the only entities which can pool the capital necessary to redevelop lower density housing into higher density housing.
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Holy moly. It does consume housing supply. It consumes stock that can no longer be owned by regular people. That in itself is one of the categories of housing that is in desperate need. Affordable homes for purchase, not rental. It shifts purpose-built purchase homes into rentals. This causes the purpose built purchase property supply to continue to be constricted.
Also I am not talking about corporations buying land to redevelop. I am talking about corporations and people that specifically buy single family homes and condos to rent them out and prevent others from being able to competitively purchase them.
Unless you are saying that people just don't want to own homes anymore. I don't know many people who would choose a rental over ownership if they had the choice. It creates an atmosphere of stress and impermanence which makes raising a family harder and harder these days.
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