There is no such thing as a living wage in a housing market like this. The recent bill in WA to control rents limited rental increases to the rate of inflation plus 7% (or a flat 10%, whichever is lower). So when inflation is at 3% every year, and rents rise 10% every year, how long before someone who gets a 5% annual raise (40% higher than the rate of inflation) can't afford rent?
As long as the rental market cannot meet rental demand, raising wages just bids up rents. No more people get housed or are able to create savings to weather emergencies. All that money just gets transferred from business owners to landlords, using minimum wage workers as mules to transport the money.
Your bias is demonstrated by the fact that you seem to think this is all about greedy business owners and you put ZERO responsibility on the landowners and politicians who have perpetuated this housing crisis.
Meanwhile, in states without property tax caps, overheated housing markets raise the property taxes of seniors until they can no longer afford their homes, even if they're paid off. My property taxes are still just a fraction of my mortgage but they've more than doubled in the past 8 years and in another 8 years I'll be 64 and likely pay more annually in property taxes than in mortgage payments.
So seniors and digital nomads sell their ridiculously overpriced homes in superheated markets and take those profits to cooler markets, increasing property values and property taxes, which may seem like a benefit until it heats up the local housing market too much.
But we saw Marc Andreessen and his wife demonstrate their nasty NIMBY values trying to stop a measure increasing housing density in Atherton, California a few years back. The same hero of VC who invested 9 figures in Adam Neumann's housing startup doesn't want any of the plebes it would serve within a bike ride of his home.
There is no such thing as a living wage in a housing market like this. The recent bill in WA to control rents limited rental increases to the rate of inflation plus 7% (or a flat 10%, whichever is lower). So when inflation is at 3% every year, and rents rise 10% every year, how long before someone who gets a 5% annual raise (40% higher than the rate of inflation) can't afford rent?
As long as the rental market cannot meet rental demand, raising wages just bids up rents. No more people get housed or are able to create savings to weather emergencies. All that money just gets transferred from business owners to landlords, using minimum wage workers as mules to transport the money.
Your bias is demonstrated by the fact that you seem to think this is all about greedy business owners and you put ZERO responsibility on the landowners and politicians who have perpetuated this housing crisis.
Meanwhile, in states without property tax caps, overheated housing markets raise the property taxes of seniors until they can no longer afford their homes, even if they're paid off. My property taxes are still just a fraction of my mortgage but they've more than doubled in the past 8 years and in another 8 years I'll be 64 and likely pay more annually in property taxes than in mortgage payments.
So seniors and digital nomads sell their ridiculously overpriced homes in superheated markets and take those profits to cooler markets, increasing property values and property taxes, which may seem like a benefit until it heats up the local housing market too much.
But we saw Marc Andreessen and his wife demonstrate their nasty NIMBY values trying to stop a measure increasing housing density in Atherton, California a few years back. The same hero of VC who invested 9 figures in Adam Neumann's housing startup doesn't want any of the plebes it would serve within a bike ride of his home.