So there’s a ton of countries that I’ve heard have had truly unaffordable housing for decades, like:
- The UK
- Ireland
- The Netherlands
And I’ve heard of a ton of countries where the cost of houses was until recently quite affordable where it’s also started getting worse:
- Germany
- Poland
- Czechia
- Hungary
- The US
- Australia
- Canada
- And I’m sure plenty others
- It seems to be a pan-Western bloc thing. Is the cause in all these countries the same?
- We’ve heard of success stories in cities like Vienna where much of the housing stock is municipally owned – but those cities have had it that way for decades. Would their system alleviate the current crisis if established in the aforementioned countries?
- What specific policies should I be demanding of our politicians to make housing affordable again? Is there any silver bullet? Has any country demonstrably managed to reverse this crisis yet?
Ah, yes, I forgot to mention AirBnB! Those are both good calls.
The AirBnb issue is a little complicated because I’ve seen some good arguments that it can help people afford to keep their homes. But I think that could easily be addressed by a single, simple rule: you are only allowed to rent your primary residence as determined by tax records.
This is actually a good argument but I believe it’s only valid when people sub-let empty rooms, and don’t buy whole new houses to rent out as is now more commonly the case.
In addition to only renting out single rooms, I also thought of the scenario where someone goes to visit a relative and rents their whole apartment while they’re away, perhaps when there is some major event in their town that causes all hotels to be sold out. Both of those scenarios would be addressed by the rule I proposed to only allow renting out the primary residence on AirBnB.
Agreed
Yes this sounds like a good (and importantly very simple) rule
I think I had heard of the idea before, so I didn’t come up with it. I just did a quick search and one of the first results says LA does this. There are probably other cities too…
https://www.steadily.com/blog/airbnb-short-term-rental-laws-regulations-los-angeles
Actually, this is impressive. LA seems to have it’s shit together on this issue. Do you know if house prices are still a problem there?
Most definitely. Southern California in general has some of the highest housing prices in the US. I think the AirBnB regulations are only part of the equation. They need to drastically reduce the barriers to construction of higher density housing, for instance.
LA actually has “vanlords”, people who rent out old, beat up vans parked on the street to homeless people, for hundreds of dollars a month. Some real dystopian shit if I’ve ever seen any.