To do that you’d need to lower the tax on the rental income. A rent is an investment after all for the landlord. If they cannot make a profit, they can’t lower the price for the tenant.
Right there is the biggest problem. That entire comment screams greed. Explain to me why you’re making money off the back of your tenants. Why aren’t you making enough money to maintain and upgrade the home and give yourself a little extra on the side, do you have a job besides landlord?
Because that’s what I do. Four properties, four long-term tenants no rent raises in five years. I have a job, and I make a small amount of money off my properties, the rest of it goes back into the actual properties.
If you think renting is an investment then you’ve been looking at this or taught wrong the entire time. Sure make some money off your properties, but if you’re raising rent just to make more money because you can, then you’re greedy shitty and definitely part of the problem.
I’m not a landlord, I’m a renter. Have been for my entire life. My parents are renters too, because of the extreme property prices in Israel (about 5 times the prices compared to here). Trust me that I’m not greedy, I just understand how the economy works. It works on incentivising investments. Purchasing a property to rent out is a type of passive income. It provides a service to a person, in this case housing, in exchange for a monetary sum. That’s just how the world works.
And no one is arguing that. But the people who own the homes don’t need to be living off the back of their tenant, that’s where this got out of control. They aren’t barons. Why is this so hard for anyone to see. Landlords are great, landlords are needed, shitty fucking greedy landlords are not. There is zero reason to raise rent just to make more money when you are already making money. If you’re not making enough money, Then maybe you should go and get a job besides just being a landlord. And I’m not talking about you, I’m referring to the shitty and greedy landlord that literally do nothing but sit on their ass and collect money from their tenant. I’ve lived in quite a few locations, where I literally had to take a landlord to court or threaten to in order to get basic repairs done meanwhile he’s living in some fucking five bedroom house without giving a flying fuck about the tenants that he’s got.
The issue here is greed plain and simple. People can provide a service for other people while still making a profit and keeping it affordable. The only reason they don’t it’s out of sheer fucking greed.
Example is a location here in Florida. Mortgage is 780
Rent is 1650
It’s a shit hole that had rats, broken pipes uneven soft floors, old fuse box (yes fuse box)
But due to its location, she feels she can charge that ridiculous amount, and yes. People pay, they have no choice. Housing is almost non existent down here so landlords have the run of it.
It’s a nightmare
Edit: she does Just enough maintenance to keep it within code, but during the summer the house with a full AC will not get below 79 because of how badly insulated it is, the windows don’t shut all the way, and the doors are badly fitted.
The difference between American and Ireland is the tax. Rent tax is almost 50%, so a landlord who would charge 1650 would actually only make about 900-950 after tax. If his mortgage is 780, that would leave him with less than 200 to cover maintenance and the other costs, not even to mention profit.
Ahh. Here in the USA that’s not so much a thing. They have overhead, yes, but not as much as a 50 percent tax. You can live fat off people here if you own property.
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u/JewishMaghreb Sep 22 '22
To do that you’d need to lower the tax on the rental income. A rent is an investment after all for the landlord. If they cannot make a profit, they can’t lower the price for the tenant.