> Investors add to demand for housing

And here I thought people who want to live in houses add to demand for housing.

Investors buy houses that people want to live in. If people don't want to live someplace, you won't see any investors there either.

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greyface- 3 hours ago | parent | next [-]

1 house is built. Alice wants to own it to live in it. Bob wants to own it to rent it to Alice. 2 people want to own the house.

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chii 3 hours ago | parent [-]

> 2 people want to own the house.

and so how do you decide who gets it?

1) morally. Alice deserves it because her intention is more pure.

2) financially. Bob gets it, because he can pay more for it than alice.

Which choice above you make as a policy direction is a reflection of your world view. I'm voting for 2), but i can understand the POV of 1), even tho i disagree with it.

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hunterpayne an hour ago | parent [-]

You are entirely missing the point. The correct answer is to build 2 houses. The problem with these policies is that they artificially restrict demand. If they didn't do that, nobody would have a problem with them.

	▲	chii 13 minutes ago \| parent [-]
		> The correct answer is to build 2 houses the utopian answer is to build two houses. But we don't live in utopia. The constraints faced today is real (paper or physical). You can't wish it away, and you can't say it's "easier" to just build two houses.

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9rx 4 hours ago | parent | prev [-]

> And here I thought people who want to live in houses add to demand for housing.

Desire is a necessary component in demand, but it also requires willingness at a given price point. If houses are selling for $1,000,000 and you only have $500,000 to spend, then no matter how much you dream every night about having a home, you are not a contributor to demand.

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triceratops 3 hours ago | parent [-]

Counterpoint: houses sell for $1,000,000 because there are more people with $500,000 (and every other number less than $1,000,000) who want those houses than there are houses.

	▲	9rx 3 hours ago \| parent [-]
		How is that a counterpoint? It says the same thing with different words.