Reply to The Daily episode on the housing crisis

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[quote=Anonymous][quote=Anonymous][quote=Anonymous]There are plenty of affordable areas of the country to live.[/quote]

I think you are missing the point.  There was an article recently about some random town in Michigan…probably an affordable area in your eyes.

Well, the median price has doubled in just the last 5 years because of people selling from high cost area and moving there.  Great for them, but now the locals are priced out.

Now they have a homeless problem…mainly due to local jobs not paying enough and rents increasing as much as owning.

It cascades.[/quote]

Yes this is precisely what the episode talks about. People get priced out of DC and move to Kalamazoo and then Kalamazoo winds up with a homelessness issue because the extra demand pushes prices up. But it starts with the lack of affordable housing in DC -- if we could build WAY more affordable housing in and near these major cities where most of the jobs are then you wouldn't see people fleeing for these places elsewhere in order to access affordable housing.

I did like that the episode focuses on how trends in real estate buying and investing directly impact rents (as opposed to the cost of buying). Because I think a lot of people don't understand that's where the pinch is coming. It's not about people who are mad they can't afford to buy a house in AU Park and have to settle for Rockville. It's about how renters (who do not and likely will never have the capital to buy anything) can't afford to rent an apartment either place. And that's when you see the externalities that people complain about but don't seem to understand the causes of -- homeless encampments and the difficulty of finding employees for lower paying work. These are a direct result of not having enough affordable housing units at a rent working class people can afford.[/quote]

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