[jsbg]

Really. If obsessive zoning and building regulations didn't artificially restrict the supply then there would be no reason for anyone to "invest" in houses.

[breakyerself]

100%. I'm a far left anticapitalist, but facts are facts. Zoning, restrictive building codes, and the death of much of the housing construction industry post 2007. All contribute to housing costs and homelessness.

I'd like to see zoning opened back up for increasing density wherever it's needed, but I would also like to see a strong social housing policy.

[rconti]

That doesn't strike me as true at all. Nationwide, housing has generally been a "good investment", regardless of whether we're talking about an area that restricts supply or one that does not.

[breakyerself]

The places where it's a good enough investment for investors to buy up real estate are in these high demand markets where housing supply has massively lagged demand. Homeowners may be satisfied that their home values have increased everywhere, but black Rock isn't buying houses in small towns in Idaho and ohio because the ROI isn't as high.

[tptacek]

Rents and home prices have repeatedly fallen in places that have authorized large scale new building. In the past, those price pressures were probably offset by large-scale moves from the northeast and midwest into the Sun Belt, but those appear to have mostly equilibrated now.

[grafmax]

An unregulated supply will still offer promising investment opportunities to those with enough money to buy them up. Look at crypto or private equity. These markets are lightly regulated. But prices are bid up by big money. Unfortunately just dumping regulation is unlikely to fix housing.

[tptacek]

People say this but then never draw the rest of the owl. It costs money, substantial money, to hold on to a house. As soon as you propose that you're going to close that gap by renting the house out, you're competing in the market with everybody else letting out houses, and supply-and-demand kicks in.

Can you explain the mechanism by which accumulating vacant houses would provide the same reward structure as crypto speculation?

[breakyerself]

I'd never argue for an unregulated market. Just that we stop regulating them to benefit the few over the many.