|
Title: U.S. rent has increased 175% faster than household income over past 20 years Post by: Hydrogen on March 29, 2021, 10:38:52 PM Quote Bright lights, big city. "And lack of affordable rental housing," says University of Cincinnati researcher Mike Eriksen, Ph.D. The West Shell Associate Professor of Real Estate from the Carl H. Lindner College of Business recently published a report entitled, "The Location of Affordable and Subsidized Rental Housing Across and Within the Largest Cities in the United States" with the Mortgage Bankers Association's Research Institute for Housing America. Covering subsidies to employment and population growth in the top 50 American cities, the report starts to unpack the intertwined complexities that have contributed toward the general trend towards unaffordability in large metropolitan areas in the United States over the past 20 years. "Across the largest 50 cities, median rent has increased 175% faster than household incomes," said Eriksen. "For low and middle income populations in these regions, housing is getting more expensive at a faster rate." One subset of the issue Eriksen examines is subsidies—which make up $50 billion in annual federal expenditures. On average, one subsidy is available for three otherwise income eligible households, but that statistic changes drastically to one in nine eligible households in the fastest growing metro areas. Looking at Cincinnati, Eriksen found the region to have the best of all worlds. "With the expected spend on rent being 30% of household income, Cincinnati is actually the most affordable region in the country when you measure the dollar gap between median rent and expected housing spend of a moderate-income household," he said. Unfortunately, Cincinnati also leads large cities in the percentage of renters considered low-income according to federal guidelines, Eriksen shared. For Eriksen, this report scratches the surface on uncovering what equitable housing opportunities could mean—and look like in practice—in cities of any size growing at any rate in the United States. He says more research is needed to help untangle the knotty mess of housing inequality and understanding the economic obstacles for renters and first-time homebuyers alike. https://phys.org/news/2021-03-rent-faster-household-income-years.html .... Can cryptocurrencies do much to address these issues? There are several different fundamental forces behind the observation of rent increasing dramatically faster than average income. Similar to bitcoin BTC real estate in the US might be labeled a deflationary asset due to construction and development of new living space failing to match population and immigration growth. The chart below shows how new home development has floundered. https://i.imgur.com/fUBho2z.jpg Real estate over the Last 20 to 40 years has become an increasingly scarce commodity. There is not enough new living space being created to satisfy demand and maintain affordable prices. Perhaps a new cryptocurrency could be designed to fund innovative and new living space alternatives in the country. Which would decrease demand for living space and result in more affordable markets? Tiny house and container based architecture could have potential. Micro timesharing of living space is another possible solution I've seen experimented with. I always see many interesting and bright ideas discussed on the internet and so perhaps someone has a good solution for this. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: odolvlobo on March 30, 2021, 02:32:02 AM In general, because the aggregate demand for housing is fixed (it basically follows population), the solution to the lack of affordable housing is to increase the aggregate supply. Unfortunately, most laws and regulations, including those intending to make housing affordable, have the opposite effect by reducing the incentives to build more housing.
Can cryptocurrencies do much to address these issues? Probably not. Cryptocurrencies might be able to reduce inefficiencies or increase transparency, but those problems don't seem to be major contributors to the lack of affordable housing. The chart below shows how new home development has floundered. Your chart needs to go back further. The housing situation was not normal between 1992 and 2009, so your chart may be misleading. Also, the chart's title contradicts the chart itself. The chart clearly shows that new housing starts are not flattening out. Perhaps a new cryptocurrency could be designed to fund innovative and new living space alternatives in the country. Which would decrease demand for living space and result in more affordable markets? The idea that a new cryptocurrency can "fund" something is a misconception. Anyway, those are my opinions. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: Kong Hey Pakboy on March 30, 2021, 04:56:19 AM I think part of the reason why the prices of rent is skyrocketing is because of blatant overpricing of the land and the 2008 housing crisis. Not to mention that the congress doesn't have any plans to increase wages of their minimum wage workers because they are lobbied into not doing it and their presidents are idiots that only wants to bomb Middle East and sell more weapons.
Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: davis196 on March 30, 2021, 05:42:46 AM USA is a country with a growing population and an economy,that is driven by debt.I large part of this debt is built around mortgages.All the mortgages are a big reason why real estate is overpriced in the US(and almost all the other first world countries).
I don't think that the crypto industry can provide any solution to this problem. The people need new and cheap houses,which means cheap materials and cheap labor(I don't know how this is going to happen) and also less regulations and restrictions,when it comes to building new houses. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: Lucius on March 30, 2021, 01:14:33 PM Perhaps a new cryptocurrency could be designed to fund innovative and new living space alternatives in the country. Which would decrease demand for living space and result in more affordable markets? Cryptocurrencies being known for innvation and flexibility, could this issue be addressed by rolling out a new crypto token designed to fight global hunger? You need to get rid of the impression that some new token will solve the problem of world hunger or living space, because these problems are far more complex than having someone create a new coin that will magically change that for the better. Proof of this are the thousands of coins that have been created so far, but on the fingers of one hand you can count those that have some purpose in real life. The problem of real estate prices and the rising cost of rent are just part of the problem that exists in the US, but it is part of their economic strategies over the past 50 years that are now becoming more pronounced - after all, everyone has to pay for their mistakes. In 50 years (probably even earlier) the descendants of today's people will have to bear the consequences of today's decisions. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: BrewMaster on March 30, 2021, 02:02:54 PM but it is not just rent, the cost of living in general is increasing in US. compared to 20 years ago, they say it is bigger than the inflation. the purchasing power of dollar has been decreasing fast.
the worst part is that this speed is only going to get faster when you consider the amount of money they've printed over the past 2 years compared to the past 100 years. with that said i don't think there is anything cryptocurrencies even bitcoin could do. the world is still entangled with the centralized inflationary fiat and the governments are inflating it more and more every year! Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: Hydrogen on March 30, 2021, 11:50:00 PM Probably not. Cryptocurrencies might be able to reduce inefficiencies or increase transparency, but those problems don't seem to be major contributors to the lack of affordable housing. Isn't an inability for markets to provide affordable housing to consumers an issue of efficiency by definition. You say crypto could increase efficiency. But that wouldn't help. Why not? Your chart needs to go back further. The housing situation was not normal between 1992 and 2009, so your chart may be misleading. Also, the chart's title contradicts the chart itself. The chart clearly shows that new housing starts are not flattening out. "Not normal" how. Can you say something specific about it. The idea that a new cryptocurrency can "fund" something is a misconception. Anyway, those are my opinions. A "misconception" how? Raising taxes to randomly throw money at problems is the modern trend society is founded upon. If you yourself support tax hikes for these programs and incentives. How does that allow you the moral high ground to buck the trend? You need to get rid of the impression that some new token will solve the problem of world hunger or living space, because these problems are far more complex than having someone create a new coin that will magically change that for the better. Proof of this are the thousands of coins that have been created so far, but on the fingers of one hand you can count those that have some purpose in real life. The problem of real estate prices and the rising cost of rent are just part of the problem that exists in the US, but it is part of their economic strategies over the past 50 years that are now becoming more pronounced - after all, everyone has to pay for their mistakes. In 50 years (probably even earlier) the descendants of today's people will have to bear the consequences of today's decisions. Would it be fair to say Satoshi Nakamoto created a token to help solve issues relating to fiat devaluation, an overreliance short term economic/finance management and hyperinflation? If you answered yes to this. Why would this trend be limited exclusively to inflation protected assets or a single sector. You say "problems are more complex than creating a new coin". But is there a specific reason which guarantees a new token couldn't be utilized to solve poverty, hunger, unaffordable housing or other issues society faces? Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: Darker45 on March 31, 2021, 01:56:23 AM Can cryptocurrencies do much to address these issues? I am not thoroughly informed as to the real housing situation in the US, but I suppose the problem is rather systemic. It is very deep that a mere token can barely effect change in it. The bursting of the housing bubble in the US way back in 2008 was huge enough that it shaken the entire country's economy and has led to around a trillion in rescue allocations. That's how large its scope is that it cannot magically be solved by a mere issuance of token. Well, Quote Quote For Eriksen, this report scratches the surface on uncovering what equitable housing opportunities could mean—and look like in practice—in cities of any size growing at any rate in the United States. He says more research is needed to help untangle the knotty mess of housing inequality and understanding the economic obstacles for renters and first-time homebuyers alike. There is probably so much to discover and understand about this extremely complicated and multi-faceted issue. Not to mention that it is recurring as well as global. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: odolvlobo on March 31, 2021, 07:10:19 AM Probably not. Cryptocurrencies might be able to reduce inefficiencies or increase transparency, but those problems don't seem to be major contributors to the lack of affordable housing. Isn't an inability for markets to provide affordable housing to consumers an issue of efficiency by definition. You say crypto could increase efficiency. But that wouldn't help. Why not?No. By definition, economic efficiency is related to transaction costs. I don't think that the cost of buying and selling houses is a primary factor in the lack of affordable housing. The primary factor is the lack of supply. Your chart needs to go back further. The housing situation was not normal between 1992 and 2009, so your chart may be misleading. Also, the chart's title contradicts the chart itself. The chart clearly shows that new housing starts are not flattening out. "Not normal" how. Can you say something specific about it. Compare to this chart that goes back to 1959. It shows a bigger story: https://static.seekingalpha.com/uploads/2017/10/19/saupload_4eb8c98305d94aa3120face995aa8bd1.png The idea that a new cryptocurrency can "fund" something is a misconception. A "misconception" how? A coin will not generate money or change behavior. If you want to create a program that funds affordable housing, you need a program, not a coin. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: Poker Player on March 31, 2021, 07:20:45 AM Can cryptocurrencies do much to address these issues? Yes they can to some extent but I don't think the solution comes from the creation of tokens. Price increases have two components: inflation due to money printing by central banks and the supply/demand ratio. Liberalizing is one of the solutions. More restrictive states have more prohibitive home buying and renting prices. On the inflation side, in general people should protect themselves from price increases by investing in assets that beat inflation. Today the most profitable and with the best future prospects would be Bitcoin. Those who buy Bitcoin will beat inflation, and to the extent that it becomes widespread for transactions such as the purchase of a house, this problem would also be moderated, although that is a long way off, as I do not see financial institutions giving mortgages in Bitcoin in the near future. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: slapper on March 31, 2021, 07:56:48 AM Actually, Tax on owning houses are what prevent US people from buying a house
In my country, the situation is slightly different. Rent is affordable but the number of people who do not own a house increase quite fast compared with those who have. Even though new houses and apartments are constructed every year, they can't afford to buy one. Why? The price of houses keeps increasing drastically over years without any sign of stopping. This induces rich people to keep buying houses while construction contractors keep target those people and build high-class accommodations. They have the belief that real estate is the safest asset on the planet because the world is just a whole, it can not expand while the number of people keeps increases every year, especially in the urban Bitcoin and other cryptocurrencies can be a good investment for ones lacking money. In fact, young people in my country tend to invest their money in digital assets rather than traditional ones. This move does bring effective results since many of them start to have money to buy houses or reinvest in cryptocurrency. Cash is always affected by the inflation because of regulation and centralization of the government Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: stompix on March 31, 2021, 08:15:42 AM Would it be fair to say Satoshi Nakamoto created a token to help solve issues relating to fiat devaluation, an overreliance short term economic/finance management and hyperinflation? You realize that just solving inflation will not keep housing spaces affordable indefinitely? There is population growth, there is limited space there is a need for housing closer to city centers where there is no room left to build. A token, an altcoin a shitcoin or any defi project won't be able to magically transmute another dimension on top of the current one to make land affordable! And since you're referring to satoshi, your idea goes against one of the principles of bitcoin, and is more akin to fiat currency, as you want to fix prices just like in a planned economy. There have been numerous attempts at doing this, how did they end? Either with total failure or turning those areas of the cities into underdeveloped ghettos. In 2000 there were 282 million people in the united states, now there are 328, an increase of 46 million, 46 millions, twice the population of the entire metropolitan area on New York. You say "problems are more complex than creating a new coin". But is there a specific reason which guarantees a new token couldn't be utilized to solve poverty, hunger, unaffordable housing or other issues society faces? Yeah, tokens will solve hunger, the moment you train your token to know how to handle a shovel and pick some apples. We have lived for two millennia with the gold standard, has that kept poverty, hunger, inflation, unaffordable houses away? Not from what I read in the history books. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: Poker Player on March 31, 2021, 09:34:44 AM Would it be fair to say Satoshi Nakamoto created a token to help solve issues relating to fiat devaluation, an overreliance short term economic/finance management and hyperinflation? You realize that just solving inflation will not keep housing spaces affordable indefinitely? There is population growth, there is limited space there is a need for housing closer to city centers where there is no room left to build. A token, an altcoin a shitcoin or any defi project won't be able to magically transmute another dimension on top of the current one to make land affordable! And since you're referring to satoshi, your idea goes against one of the principles of bitcoin, and is more akin to fiat currency, as you want to fix prices just like in a planned economy. There have been numerous attempts at doing this, how did they end? Either with total failure or turning those areas of the cities into underdeveloped ghettos. In 2000 there were 282 million people in the united states, now there are 328, an increase of 46 million, 46 millions, twice the population of the entire metropolitan area on New York. You say "problems are more complex than creating a new coin". But is there a specific reason which guarantees a new token couldn't be utilized to solve poverty, hunger, unaffordable housing or other issues society faces? Yeah, tokens will solve hunger, the moment you train your token to know how to handle a shovel and pick some apples. We have lived for two millennia with the gold standard, has that kept poverty, hunger, inflation, unaffordable houses away? Not from what I read in the history books. I quite agree with what you say. Would you agree that part of the solution lie in lifting restrictions on the construction of new homes, as I was commenting? On the other hand, with the gold standard, price increases were more contained and in relation to convertibility, but what has done the most to end hunger and poverty in the world has been mass production, which is related to the above. It is not that the system is perfect but it has led to reach levels of development and welfare throughout the world unimaginable centuries ago. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: stompix on March 31, 2021, 10:11:56 AM I quite agree with what you say. Would you agree that part of the solution lie in lifting restrictions on the construction of new homes, as I was commenting? Unfortunately, there will be no such thing. Current politicians live in a bubble, they want buildings in their town to be only a few levels tall, to not disturb the architecture, with a lot of green space, and most of all, they must be cheap. They are forcing you to build only in certain areas, increasing artificially the price of land, forcing you to obey a thousand and one rules that only drive costs up and when you want to rent the apartments here comes rent control. Probably this is one of the few good things that are going to come from this pandemic, a lot of people might move away from major cities to smaller ones or even villages where they might even afford to construct a modest house with the money they would have paid in rent. But from officials and politicians, there will be no real solutions, they live in la la land. On the other hand, with the gold standard, price increases were more contained and in relation to convertibility, but what has done the most to end hunger and poverty in the world has been mass production, which is related to the above. And the same politicians are trying to stop this with their new eco current, driving farmers nuts with their regulations and imposing again thousands of restrictions and rules and taxes. They care more about how much an apple suffers when you pick it from a tree and are deaf to everyone who is telling them this will only end with lower production and more expensive food. Rules are necessary, but when the government officials are writing them just to please voters without thinking of the consequences disasters will follow. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: Lucius on March 31, 2021, 10:42:58 AM Would it be fair to say Satoshi Nakamoto created a token to help solve issues relating to fiat devaluation, an overreliance short term economic/finance management and hyperinflation? If you answered yes to this. Why would this trend be limited exclusively to inflation protected assets or a single sector. You say "problems are more complex than creating a new coin". But is there a specific reason which guarantees a new token couldn't be utilized to solve poverty, hunger, unaffordable housing or other issues society faces? You got quite good answers in the posts above, there's not much more to say - except to repeat that no token can solve the problems you are considering in your threads. If you have a concrete idea how the tokens you envision would solve the world’s problems, maybe it’s time to move from words to concrete things? What you are actually advocating is the idea of creating even more shitcoins with thousands that already exist and serve no purpose. Nakamoto made Bitcoin as an alternative to the existing system, not as something to completely replace it - unless you think all bankers and politicians will just give up what has been created for centuries to secure them a place at the top? I don’t think they want to be even equal to others, let alone become inferior to those they rule over. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: Kittygalore on March 31, 2021, 11:33:22 AM Well the price of real estate is getting higher day by day and so they have to make sure that they can get a value out of their land by raising the rent and there is nothing we can do because the people in the real estate business are in control of this kind of thing and they overestimate their prices so they can get more money out of it, not to mention that big businesses are lobbying the senate into not putting forward a raise in the minimum wages and they are so far are successful in doing it.
Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: el kaka22 on March 31, 2021, 08:11:47 PM I think there is a correlation between people buying their houses and rents being higher. Back in the day rent prices were lower, because there was more people renting so landlords would have a lot of homes they rent to and make a living from that, however there were some improvements on mortgages so right now it is easier to buy a house, and that means less people are renting and that means there are less money to be made from being a landlord and that is why the rent is higher.
It is supply and demand, if there is less demand that should mean the price should go down, but when the supply drains like it did thanks to mortgages that means people who like to rent would have to find places that exists less and less. It is definitely about economy not being good and salaries not increasing at the right level as well, minimum salary purchasing power dropped 70% and should have been 34 dollars if kept with the last 30 years, they are saying no towards 15 dollars, let alone consider even possibility of 34. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: Harlot on March 31, 2021, 09:33:00 PM The more effective way I see how this will be solve is for the US to establish new areas/cities with cheap real estate and a whole new business district to come with it, this just gives people a chances to relocate and decongest the existing cities that have a high standard of living. This will just inject a healthy competition in a lot of the real estate markets forcing them to have lower their rent. Of course in order for them to do this the government should have a way to attract businesses to invest into the new areas offering them tax cuts and other incentives just to lure them on investing into that area.
Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: paxmao on March 31, 2021, 11:02:59 PM It is a highly cyclical market in most places in the world, with cycles in the range of 5 to 10 years of time depending on several factors. We must take into account that "Real State" or housing is not all created equal. On one side, you have the highly liquid markets of downtown NY, London, Singapore, Tokyo, Sydney, ... This cities are traditionally the subject of foreign and corporate investment. In London for example, the ridiculously long planning process extends the cycle whereas in NY it is simply about lack of buildable greenfield.
However, even the most imperfect markets eventually reach a valley and go up again, e.g. people start thinking that they would rated earn a bit less in other cities or places and have a better quality of life and lower rents than to pay the massive rents, or the prices are so high that eventually regulations are relaxed,... Remember that for every rent, there has to be someone willing to actually pay it and have the means to do so. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: StartupAnalyst on April 02, 2021, 10:38:50 AM Think Covid-19 disease influenced a lot on decision of many citizens to buy suburban housing by means of mortgage. Don’t think that crypto can somehow to help in building new houses and to lower prices on them. Scarce goods always inflate in price. Only oversupply of houses can help to decrease prices or, probably, the full end of covid-quarantine.
Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: Vishnu.Reang on April 02, 2021, 12:18:05 PM Think Covid-19 disease influenced a lot on decision of many citizens to buy suburban housing by means of mortgage. Don’t think that crypto can somehow to help in building new houses and to lower prices on them. Scarce goods always inflate in price. Only oversupply of houses can help to decrease prices or, probably, the full end of covid-quarantine. It also depends on the gasoline prices. If the gasoline prices stay low, then people can afford to purchase or rent houses that are at a considerable distance from the city center. But that is not the case when the petroleum price goes up. And the oil prices have gone up by almost 60% during the last 12 months. Even here in India, the petrol/diesel prices are at historic highs. A lot of protests are going on and the central government is facing a lot of backlash. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: mersal on April 02, 2021, 01:41:51 PM The more effective way I see how this will be solve is for the US to establish new areas/cities with cheap real estate and a whole new business district to come with it, this just gives people a chances to relocate and decongest the existing cities that have a high standard of living. This will just inject a healthy competition in a lot of the real estate markets forcing them to have lower their rent. Of course in order for them to do this the government should have a way to attract businesses to invest into the new areas offering them tax cuts and other incentives just to lure them on investing into that area. People living in dense cities are the reason why the household rates are increasing, while there is no option for the people because where there is earning opportunity available. So this os going to be a long term plan execution if government wants to build new cities and reduce the dense population on the existing cities.Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: tygeade on April 02, 2021, 02:56:32 PM Renting and buying a house will change a lot in a few generations for sure. Older generations had the chance to buy any house they want, because they were doing something that wouldn't really cost them a lot, my father once bought a house 20 years ago for the price of my current salary, and I am not joking. Sure inflation plays a big role in house prices who can deny that, but it shouldn't be THIS much, one salary worth for a house 20 years ago, that's not crazy to think about. And at the end of the day today that house worths maybe 10 years of my salary, more like 8 or so but still quite a lot.
It means we should not be looking into these kinds of things from younger generation, because younger generation do not have that kind of money and we can't keep buying houses. This results with us renting, and the more we rent the less available houses for rent and that increases the price. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: Lorence.xD on April 03, 2021, 07:44:20 AM Think Covid-19 disease influenced a lot on decision of many citizens to buy suburban housing by means of mortgage. Don’t think that crypto can somehow to help in building new houses and to lower prices on them. Scarce goods always inflate in price. Only oversupply of houses can help to decrease prices or, probably, the full end of covid-quarantine. This problem has been persisting even before the pandemic, 1970s is the right time to buy houses because they are the most stable time and less expensive economy back then but now that real estate skyrocketed in prices because of increase in population and business which made land more valuable and the 2008 housing crisis also contributed to the destitution of many people in USA, oversupply in real estate does not work the same as the basic supply and demand.Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: Mauser on April 03, 2021, 09:04:30 AM Think Covid-19 disease influenced a lot on decision of many citizens to buy suburban housing by means of mortgage. Don’t think that crypto can somehow to help in building new houses and to lower prices on them. Scarce goods always inflate in price. Only oversupply of houses can help to decrease prices or, probably, the full end of covid-quarantine. This problem has been persisting even before the pandemic, 1970s is the right time to buy houses because they are the most stable time and less expensive economy back then but now that real estate skyrocketed in prices because of increase in population and business which made land more valuable and the 2008 housing crisis also contributed to the destitution of many people in USA, oversupply in real estate does not work the same as the basic supply and demand.But 1970 is a long time away, how can a young family these days ever afford their own house? The housing crisis in 2007/2008 was only a small dip on the average house prices. If you had money at that time you could have managed to buy a few bargains. However, since then the prices rose very high again. It is nearly impossible to buy an house these days with an average income. For example, if I would just buy an apartment right now with my salary and take out a loan for 75% of the value I would have to repay the loan for the next 35 years. This is insane, who knows what is going to happen to in 10 or 20 years, how can you go into debt for such long times? Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: Fortify on April 03, 2021, 09:11:29 AM This seems like a much bigger problem than Bitcoin could ever hope to solve and is not limited to the USA. You'll find a similar pattern around the world and it basically comes down to the consolidation of vast amounts of wealth in fewer and fewer hands. You'll find soccer players in England who are investing their millions into property portfolios with 500+ houses. When you put that many houses into the hands of one person and then replicate that investment with thousands of others, you are vastly shrinking the property market and making it much more vulnerable to pricing manipulation. People have to live somewhere and landlords keep choosing to line their own pockets while constantly expanding. There are so many factors at play, which change between countries, but if politicians really cared they would tax multi-home owners in a way that would stop it becoming a business and this could slow down the rising costs involved in renting or ownership.
Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: Kakmakr on April 03, 2021, 09:43:23 AM The thing is... rental properties in prime areas are becoming a huge problem. Most people want to stay near to where they work and the inner city is probably the area where most people work. So it does not matter if suburbs are expanding... because those people still have to travel far distances to get to there work.
City planners should develop traveling alternatives that will make it easier for people to live further from their work place, but still easy to commute to work. (Then employees can rent or buy cheaper properties that are further from their work) ::) Crypto currencies cannot solve this problem. ::) Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: LUCKMCFLY on April 03, 2021, 01:41:13 PM It is interesting to see that in countries such as E.E.U.U there is this type of limiting, due to a wide variety of citizens from many countries, is for renting options at day time and with great offer. In Venezuela, the contrast is similar, only that if there is room for rent and prices are in the heavens, in some cases the rents range between 400-600USD per month where they demand 2 months of previous deposit, plus 1 month for additional services, Among others, it is being for a normal person to have a balance of at least 1200USD.
At least in the E.E.U.U in an afternoon or work shift you can get at least a good payment, but in Venezuela If you have a work shift you will win a month much less than it is done in 1 day of work in 1 shift, still So if you work 12 hours per day can be something advantageous, you could meet to do the month. Regarding the population density, it may be much the one in e.e.u.u and this can be a problem, perhaps for that reason it is that the prices increase, there may be more demand for people in search of rent. I understand that in countries like Spain, rentals are also very expensive, between 200-400 euros, even so, considering that these countries enjoy a minimum salary above 200 USD is still more feasible than expected a salary of almost 4 USD as in Venezuela, unstable economies makes ways of living unsustainable but compared to stable economies countries tend to be normal as regards numbers in general. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: coiningz on April 03, 2021, 02:43:03 PM Intresting to know how many people should die during covid to make houses cheaper
Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: doomloop on April 04, 2021, 05:57:16 PM The thing is... rental properties in prime areas are becoming a huge problem. Most people want to stay near to where they work and the inner city is probably the area where most people work. So it does not matter if suburbs are expanding... because those people still have to travel far distances to get to there work. In those prime places if you have a house that you can rent to someone, you can charge a very high price and it still gets rented, that is the issue why things are very expensive, because it will be rented anyway. I know a person who rents his house for nearly my whole salary, it is not like an incredible unbelievable house, it is just a regular flat in an apartment and dude rents it for about 80% of my salary, when the previous renter moved out it took him 3 days to find a new one, and that is why it is very expensive.City planners should develop traveling alternatives that will make it easier for people to live further from their work place, but still easy to commute to work. (Then employees can rent or buy cheaper properties that are further from their work) ::) Crypto currencies cannot solve this problem. ::) I think as long as people keep paying for things, life will keep becoming more expensive, cars are being sold for a lot more these days for example but they are sold more as well, those type of things are the reason why we have very expensive life and our salaries are shrinking compared to purchasing power it used to have. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: fiulpro on April 04, 2021, 06:15:44 PM Another effect of the population Bloom or rather I would say Burst..this is something that is to be expected since what we are seeing is nothing but unplanned families and corporate industrialization finally taking effect. The land is constant... people keep on increasing, it would honestly take a lot of days to stabilize the price and this is actually happening during covid when people literally have nowhere to go. There were actually announcements by the media in the country I live in where they urged the owners to reduce the rent and guess what ? They increased it, especially for foreigners. This is a very common complication... Renting an appartment at places is equivalent of the down payment if you save for an year. I do think that Government should impose heavy fines on people who are doing things like that, it's illegal !! This is nothing but public exploitation.
Never settle for an over-expensive rent it would just give the house owner more courage to increase it even more for the next renter.. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: Yatsan on April 04, 2021, 11:30:49 PM It is pretty much expected to have an increase on rental fees specially we are talking about a country like US having a really big population despite of the ideology that it is a rich country and have lots of job opportunities for those who wanted to go overseas for work making it a crowded country that every areas is being populated by too many individuals that turn things out that even it is known to be a rich one, the reality behind says that it is not because of many people having no houses or even money to sustain themselves to get a decent home to live with. The increase of demand with limited available spaces to live in makes the rental get to even higher price increase.
With regards to what crypto can do with this matter, none because why it seems people always do put linkage between societal problems crypto when at the first place it can be solved by the society alone not always depending on what can crypto offer to help. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: Husires on April 05, 2021, 07:40:57 AM Real estate changes caused by the pandemic have forced more people to stay in their homes than in any previous years. Many spa, leisure and summer trips have been canceled. Immobilizer restrictions are forcing more people to stay home.
The role of governments comes in trying to help these people. The decline in new homes is a problem in some countries in my country there is a real estate glut. there are a lot of real estate and apartments that no one wants to buy or rent. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: sheenshane on April 05, 2021, 03:53:16 PM In this field, cryptocurrency is only a secondary solution that has to be associated or has to coexist with the main solution.
And that's companies or people to develop affordable and economical properties that could be paid for the longest term and of course, within the budget. However, due to high demand, it really is kind of impossible to execute that. Unless government would lend a hand to make it happen. I think the best platform is to have a decentralized community that will help fund a development company to build economical houses IMO. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: Silberman on April 06, 2021, 02:58:54 AM USA is a country with a growing population and an economy,that is driven by debt.I large part of this debt is built around mortgages.All the mortgages are a big reason why real estate is overpriced in the US(and almost all the other first world countries). This is what governments do not understand, they want to increase the number of people that own houses and they think that the way to do it is to give more credit to their citizens not understanding that the number of houses relative to the number of people in the country is going to remain the same but now the amount of money that is chasing the very same houses now has increased many times over, this means that the price of houses goes up and the dream of everyone having a house disappears, this is simple economics and yet they do not get it.I don't think that the crypto industry can provide any solution to this problem. The people need new and cheap houses,which means cheap materials and cheap labor(I don't know how this is going to happen) and also less regulations and restrictions,when it comes to building new houses. Title: Re: U.S. rent has increased 175% faster than household income over past 20 years Post by: zanezane on April 06, 2021, 03:20:17 AM Think Covid-19 disease influenced a lot on decision of many citizens to buy suburban housing by means of mortgage. Don’t think that crypto can somehow to help in building new houses and to lower prices on them. Scarce goods always inflate in price. Only oversupply of houses can help to decrease prices or, probably, the full end of covid-quarantine. Mortgage in US AFAIK is expensive so I think that its not really a good choice and since a lot has been laid off in the pandemic then most I think are renting and the prices on some places are astronomically high like New York. The reason that the rise in rents is because land as a resource becomes more scarce overtime so they have to raise the price of real estate and the inflation. |
