> Arguable all housing investment should go into new housing, not competing
why can't it go into new housing via a chain of financial transactions, rather than directly? In other words, it doesn't matter what the "new" money is invested in - as long as new construction rate is keeping up.
So if it's not, then where's the problem? Why isn't that root cause being addressed, instead of trying to mandate how investors want to invest?
Because new housing is typically more expensive than old. And banks usually don't wanna finance you. So you are doubly out of luck and on top of that compete with property investors.
Also that would incentivise investors to build up as that improves their profit margin if it's rentals.
why can't it go into new housing via a chain of financial transactions, rather than directly? In other words, it doesn't matter what the "new" money is invested in - as long as new construction rate is keeping up.
So if it's not, then where's the problem? Why isn't that root cause being addressed, instead of trying to mandate how investors want to invest?