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Are the <3.5% rates gone for good?
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Are the <3.5% rates gone for good?
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Subject Expert
You must not have been paying attention in economics class.
A market is at equilibrium when there is balanced supply and demand. Rent control and affordable housing requirements are artificial forces that limit the amount of rent a landlord can charge. Given the opportunity, landlords want to maximize their return on investment, which means they will seek unconstrained markets. Similarly, developers will prefer to develop new supply in markets that have fewer restrictions on the rent they can charge when completed.
If you want rent to come down, then you should crave fewer restrictions for developers and landlords that allow them to introduce more supply at market rates.
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