Oh ok so rent control is another way to decrease beautiful old style buildings and architecture and build more ugly disgusting modern day architecture and buildings
This is so full of crap I can’t even begin to try and correct all the lies it tells but let me at least say there is a big difference between rent control and rent stabilized apartments.
Rent control hurts renters because no rent control makes rent unaffordable. You recall Gray Davis, one of the best governors in CA history to put in a celebrity and now you put Gavin Newsome in office. A man who committed adultery with his secretary who was his campaign manager's wife and was sleeping with Kamala Harris when he was mayor and she was the DA of SF. Californians can blame themselves for this retard being governor.
Where I'm from, landlords can raise rent higher than the allowed amount if they can show that it's a renovation or improvement to the unit. New windows, furnace, insulation, roof, etc.
It is the poor who habitually elect Democrats—yet they are still POOR “You cannot help the poor by destroying the rich. You cannot strengthen the weak by weakening the strong. You cannot bring about prosperity by discouraging thrift. You cannot lift the wage earner up by pulling the wage payer down. You cannot further the brotherhood of man by inciting class hatred. You cannot build character and courage by taking away people's initiative and independence. You cannot help people permanently by doing for them, what they could and should do for themselves."
Abraham Lincoln, The first Republican President!
Good video but a source for economists from almost 30 years ago should probably be updated…
You will get your rent when you fix this DAMN DOOR!!
This is, hands down, the dumbest thing I have ever seen.
Not to mention that any law passed by govt is outside it's mandate, regardless of whether it's effective or not. America is about freedom… Conservative Libertarian here… It's about time that American Citizens start distressed laws that are unconstitutional and either take their issues to the supreme Court or are willing to sacrifice their lives to defend freedom according to our constitution
I thought I was getting screwed by my landlord for taking half of every dollar I bring home. Sure glad Prager U was here to tell me everything is a-ok!
All part of the plan.
Pretty much any government act, bill or program with the word control in its title does the opposite of what the public wants.
I learnt that shit in first year economics
Globalist goal is to drive citizens out of the cities and to let the addicts and zombies destroy businesses to gut property values thus enabling conglomerate globalists to swoop in and grab properties.
Globalist Planted Prosecutors, DAs, Mayors and Governors are assisting in penalty reduction in the major cities and now U.S. Congress has been penetrated and compromised.
Note what is happening in Boston, Portland, Seattle, LA, NY, and smaller cities in select states.
Other subversive maneuvers like Lewiston Maine, and The dissolve of The U.S. borders.
Getting the picture yet??
There are billions and billions of dollars behind this tireless attack.
This is why they Liberals are letting the cities collapse, reducing consequences, encouraging criminals and rewarding them, and crippling Law enforcement at every turn.
It would have all been handed to them by the clinton wife but as we all know, she lost like the loser she is so now they are simply trying to take the country bit by bit.
Rent control is a socialist idea and just like all ideas the crazy left come up with it's a failed idea.
California is expensive becuase of REPUBLICAN strict zoning laws in the suburbs.
Rent control does cause price distortions, but you can apply rent increase caps, and ownership tax control to allow the housing market to have more players instead of huge corporations and investors who artificially increase demand and ends up raisings the prices of houses and mortgage for everyone who cannot pay. Housing is probably the only area where the capitalism really explores and hurts the poor. The value of a house and land is way over the material and workmanship. And this in turn drives people away from where they work, and everyone is forced to commute.Homes are basic human needs and should not be explored this way.
If your over 25 and rent you need evicted. Because that's plenty of time to prove you arent a failed human. Dont join the race if you dont intend to finish first.
Question. How is reasonable rent obtained? Here in Miami the rent is out of control. Rent for a single room can range from 800-1600. What’s the difference between the market and price gouging?
Thomas Sowell covered this in his book "Basic Economics". Rent control only helps the very wealthy who remain in the same location for decades and hurts new families attempting to find a good place to live. The condos may only charge the older wealthly person the rent from the 80's or whenever they locked in their rent, but the complex has to make up for that loss by charging its newer tenents even more than they normally would have to make up for it. So the new family is stuck paying 3,000 bucks a money while the person pay 600 a month makes way more money and is more financially stable being later in their life.
It's regressive. It's central planning. And it defeats markets incentives which is the primary means of driving down costs. Rent is high because California has blocked development, regulated development, and fined developers. You don't offset shit policies by even worse policies.
Portland Oregon is trying to do the same thing . Welcome to the ghetto folks .
Rent control is to reduce the massive greed that landlords and real estate owners are guilty of. Their greed drives the rent way up and creates massive homelessness. We have shopping mini malls all over that are at a near empty capacity due to the owners greed and monopoly as landowners.
Reagan said once that the nine scariest words are “ I’m from the government, and I’m here too help “.
Look at a place like Detroit and it's suburbs. With all their economic woes, there's very little homelessness. That's because they have no rent control.
Here where i live renting is almost hell for the landlords because people usually don't pay and don't want to leave, since you need to take to the court to take the person out, and law actually supports them especially if they have children, you the owner of the house however still have to pay the tax for the house for the government, and you can't sell the house either because there is someone in there.
OK, still waiting on that earthquake that is going to send that shit hole in to the ocean…
Laws amd legislation often do the exact opposite of what they are supposed to
so basically, it's the renters fault for wanting unduly cheap accommodation by voting for those who say what they want to hear..tsk tsk, people's greed always shoots them in the foot..
That's right, we should NOT have rent control, WE SHOULD ABOLISH THE HOUSING MARKET(while we seize the means), BASIC HUMAN NEEDS SHOULD BE MET BY SOCIETY FIRST AND FOREMOST. Y'all make me wanna be a tankie.
Watches video: "Yeh yeh whatever. But do I get free shit?" ~Average leftist
this newsom is a joke he really thinks that we are fools we want him out of office so he is trying to cater to Los Angeles so we wont vote him out of office him and brown run the same agenda around election newsome and brown suggest letting non violent offenders out of jail and prison blacks and whites and mexicans family then forget about the condition of our city and the missrepresentation by our officials doing their jobs and what the families are not looking at is why is newsome doing this even though his acrions are not for low income people here in los angeles 5 percent is 5 percent which landlords are anle to increase yearly rent here in los angeles thats a front newsome americans first idiot and we have the second largest homeless problem in the united states you were suppose to help homeless americans get into these expensive highrises your building all over the city that low incom citizens cant afford make a program where a certain amount has to accept section 8 that is a battle here i los angeles newsome is hiding the conditions of los angeles and it has been this way for so long that nobody cares if it gets fixed especially newsome he only doing enough to stay in office los angeles dont fall for the okedoke im not stupid pay attention to all races that are working now it shows that the economy is flourishing now because our president is doing his job no matter how difficult his enemies try to make it real walkie talkie
Build The PEOPLE 1st!
Too many buildings ANYWAYS….
No, the real problem is lack of landlord controls: Republicans decided corporations have the right to BUY friendly government officials.
Only 1% of apartments in NYC are rent-controlled. Most are actually rent-stabilized or rented at market value. 2 totally different things. Why are we talking about something that affects 1% of the population? Talk about spin.
OR, just or, landlords could quit the economic rent seeking. Like outside corps coming in, raising rates, passing on additional expenses new to the renters, imposing harsh rules, and then offering zero value added.
Except, rule #1 f capitalism would then be violated – Profits must ALWAYS go up. Nice jewed up system we have going.
Inflation is so bad in California, it would do ya better just to move outta there.
I wish this had contained the reason WHY elderly have a problem w/rent skyrocketing: mass unchecked immigration, legal & illegal driving demand. immigrants will pack apts in high numbers allowing them to meet costs which serves landlords & cheap labor loving businesses.
Alot of these problems would be solved if people just looked out for one another rather than thinking about their profits. If people would put others interests above their own
PragerU arguments are always weak, but I think this was the weakest ever. Among other problems notice she had NO examples of the "free market" providing affordable housing.
Awesome ?? Thanks
Andrew’s agenda is Scheer genius
I'm a Florida resident, and I must say there is something seriously wrong with the housing system when landowners spike the prices after a devastating hurricane like Michael. Since Michael I have seen "Now Hiring" signs all over the coast, yet there's no way hospitality and retail workers are going to be able to afford the current rates unless they move an hour away! This is what pisses me off when I hear advocates preach about raising the Min. wage to $15 an hour, they never address the out of control housing costs!
Leftists be destroying the constitution
Leftists be Destroying the country and constitution
Economics 101, MAXIMUM PRICE CONTROLS DONT WORK!!!
I gotta call BS on that!
Leftists just love to "control" everything and everyone.
How can lawmakers have no basic economic knowledge? Or maybe they just don't care
propaganda,here in florida we dont have rent control but have all the negatives of rent control,worst rents are reaching very high levels that few can pay forcing me and others to move far away (sometimes over an hour) from where we work.we need rent control.
THIS IS A TERRIBLE IDEA!!!! IT WAS A FULL ON DISASTER AT THE MUNICIPAL LEVEL…THIS WILL DESTROY RENTERS AND PROPERTY OWNERS WILL FLEE!!!
THE PROBLEM ISN'T THE POLITICIANS ON THE LEFT BUT MORE SO THE VOTERS BEING BRAINWASHED…OUR PROBLEM IS THE BRAINWASHING IS NOW CEMENTED. THE FOCUS SHOULD BE ON THE GENERATIONS COMING UP BUT THE LIBERALS OWN THE EDUCATION SYSTEM. WE HAVE A BIAS EDUCATION SYSTEM. HOW ARE WE A TWO PARTY COUNTRY WHEN ONE PARTY CONTROLS THE EDUCATING? WE ARE NOT, IF THAT IS THE CASE.
THIS IS BREEDING A FUTURE CIVIL WAR.
California common sense… Not even once
I have seen the opposite. Ideas vs reality of the situation. I live in L.A. and this is not what the reality is.
But did she ever refute the claim that rent control leads to more affordable housing? It seems she instead claimed that rent control leads to worse quality housing, which is a different issue.
Has @PragerU been "Unverified"? Why do they not have a checkmark?
Everyone loves rent controls. Politicians because they get reelected, renters because they are convinced there is a free lunch, and homeowners because it keeps property values high. Moral, don't waste your time or money being a landlord. Sell tents and RVs instead or the latest answer to the housing crisis, the so called "tiny house" Make great homes.
I was surprised when I first learned that rent control is bad for renters, but when you think about it, it makes sense.
And I thought Hawaii is Worst on rent I was wrong
Gavin Newsom is a giant piece of shit.
Never voted Democrat in my life and I am leaving California in 10 months. Good bye to the Zombies out here. A bunch of big dumb animals wondering around.
Very interesting, I'd love to hear the argument FOR raising everyone's rent?
Trying to artficially control the price of a comodity is a sure way to destroy the supply.
CALIF POLITICIANS STAY OUT OF OKLA AND TX WE DONT NEED YOUR RENT CONTROLL!!!! TRUMP 2020 JESUS IS LORD!!!
I learned about this from a Seinfeld episode.
If you're renting into your retirement, you dont deserve a dime from anybody. You should've bought a home well before then.
Know what other kind of control hurts renters? Building codes, zoning laws, and the like. These also restrict the supply, which drives up the price. E.g., you can't build a high rise of a bunch of cheap apartments if the city won't approve it.
omg, I think I'm in love
Leftism is a Mental disorder. Before the studies were done, anyone with a lick of common sense had 95% confidence that Gov intervention would TOTALLY FUK UP what was a less than ideal situation. Natural. Market. FORCES! You Leftist nitwits!!
rent control is anti correct pricing.
I live in a rent control apartment in LA. The landlord is not hurting at all. This to me is a one sided video. If my rent wasn't controlled, I would be raised to the pint of not being able to live in the apartment. Each year it increases well beyond the cost of living. I would have to be a lardlord to see the other side of it, but to me it is essential.
First hand experience in NYC is rent controlled apartment holders–i.e. lottery winners in a way–move to NJ (illegally) subletting their boon at a profit to others, people happy to have an apartment to rent of any kind.
On the other hand though, even if a landlord can charge higher rents, it doesn't necessarily mean that they will invest more in the property.
All of Montreal is rent controlled and it actually works really well. Hundreds of housing development, easy to move around, great incentive to stay in the city, cheap to live.
My guess is that it doesn't work if only a fraction of the residents of a city benefit from rent control.
The title makes a blanket statement that simply isn't true. Rent control the way you've described it is certainly problematic but there are better examples. In Toronto we have rent control. This means the tenant is protected. They aren't going to come home and discover that their rent has suddenly, without warning risen by 10%, 15%, or even doubled. People can't live like this. However, when you move out, the landlord can offer market rent to the new tenant. This means maintaining the building is not only profitable but necessary to attract new tenants. There are numerous new rental apartments under construction in this city as a result. The renter is protected and the landlord can make money. New builds are incentivized.
One thing I'm thinking about as I watch this is the effect of a decreasing mortgage for a landlord. I'm assuming the answer is cost of capital, I.e. you can't just leave your money tied up in rent controlled buildings if you can make more elsewhere, but I'm not sure that's sufficient.
I.e., if I buy a place to rent out and the mortgage payments are $5,000/year and will never reasonably change, the rent increases should still increase my profit. But I suppose the expenses like property taxes, utilities etc still go up and so do the cost of doing renos on a whole building…
Didn't read all the comments, so someone might have dove into this already.
The market for rentals in non controlled areas are basically you get what you pay for. Landlords are somewhat controlled by what renters can pay. Renters are controlled somewhat by the you get what you pay for standard. As usual, gov. often falls short as the watchdog in regulating unscrupulous landlords and that’s where people get shafted. On the other hand even good landlords get shafted by lengthy eviction laws. Owning rental property is a economic crapshoot for smaller private operators who are not experienced and even those long in the game are giving it up due to lack of profit. President Trump is helping tremendously by improving the economy and consumer confidence but the dems are thwarting that at every chance by such nonsense as rent control. Future generations will lose site of what a free market system actually is unless we become the diligent gov. Watchdogs our founding fathers warned us we must be. They set a clear and noble path for a constitutional republic and not a rule by the mob or nine appointed persons in robes democracy.
Newsom needs to quit. That didn't help the people because they are still raising them. All California rents have to go down so people can afford them.
The rents are still too high and he didn't fix it
So your argument here is that landlords wont maintain the apartments, no more building of new apartment complexes, and landlords can just evict tenents and replace them? On the other side of that coin, people lose their homes, and because the cost of living is so high, rent being a major factor in this, wont be able to afford an apartment so they take their family on the streets where they become the victims of crime or commit crime just to get by, nevermind maintaining a job of any kind or expecting any kind of quality of life. You want to put that fancy brain to work? Figure out how to offset the cost of living for average people so that poverty isnt the standard of living for minimum wage earners. Cute video though.
Pretty simple. They teach about rent control in ECON 101. Its a floor. It lowers the quality of rentals and stops new building of them. The supply shrinks even more causing any new rental spaces to come open to grow in price. Unless you think a 600 foot studio in new york is worth 2 grand a month……
Dear PragerU.I’m a staunch American conservative that enjoys watching all your videos and even cites your material during debates and for class reports.
I live in the Bay Area and moved here to study (and work for the most time). For a two bedroom two bathroom apartment that I live in (Fremont) I had paid around $2500/mo about 5 years ago. Every yearly renewed lease the landlord increased the rent an extra $100. It’s now $3000/mo.Sure $500 might not seem like a lot. But that’s $500 that I gotta obtain through other means such as cuts or I can always call on the government and hold their hand (which id rather not do)
If my rent goes any higher I might as well just abandon my studies and work and jump ship and start all over. Or, rent control can be placed and thousands of people can stay where they are without the landlords taking too much of an advantage.
Y’all have to keep an open mind on this. The landlord will continue to increase rent until he/she believe they have reached a limit on price before they lose too many tenants.
This is animated similarly to a Vox video… brilliant!
Rent control is one of the least favored policies among economists. There are different schools of economics with the neoclassical schools generally favoring less government control over the economy while the Keynesians are more open to the idea of government control. However, there are a few things that almost every economist agrees on and one of them is that rent control is not a feasible method to solve a housing crisis.
Here are a few others:
Free trade is beneficial to all parties involved
A carbon tax would be better than cap and trade
"Price gouging" in the aftermath of a disaster is necessary
Sports subsidies basically constitute crony capitalism
The gold standard sucks
Modern monetary theory is a load of bs
This video doesn't convince me that rent control is bad. I'm from a city where buildings before a certain date have it and those constructed after, don't. People without rent control, sometimes have to move out cause their landlord is doubling their rent after their lease expires. If rent control is bad, what's a better alternative for the average working class population that will lead to affordability in a big city?
I wonder if DOJ will sue California for passing rent control after most voters voted no on it. Is it legal to not allow landlords to rent their homes at market after the old tenant moves out?
I wanted to build a little more housing in California. Local zoning stopped me from building 3 homes on .8 acres. Big developers also get blocked from building all the units they want in downtown San Francisco. Lack of inventory leads to skyrocketing rents. But maybe rent control on ma and pa owners will reduce rent costs statewide…..
So sick of Oregon legislators passing laws the voters, VOTED NO on, just 2 years prior! Passing laws we said no to, in the dark, and attaching emergency clauses, leaving no time for any public comments other than those made by far left activists!
So much for a free market…
This video is stupid.How many millions do landlords need to live on?This month, The Real Deal pored through public documents gathered in April to come up with a first-ever, exclusive ranking of who owns the most rental apartments in New York City. What we discovered was that just 20 landlords hold more than 150,000 of the city’s approximately 2.2 million rental units. And those properties netted their owners more than $2 billion in annual income as recently as 2014, according to an analysis of New York City Department of Finance tax records.
So $2,000,000,000 divided by 20 is about $100,000,000 per person. Could they survive rent control?
https://www.realtor.com/news/trends/the-rent-is-too-high-so-help-is-on-the-way-in-many-cities-states/As a local landlord herself for more than 40 years, Golden-Gealer estimates she lost $250,000 to $300,000 in potential income from just one rent-controlled unit that was occupied for most of that time. "I could have bought a Lamborghini." she says. When her tenants finally moved, she spent $30,000 remodeling the unit and was able to raise the rent from $1,100 to $2,850 a month. "I was really able to stick it to them." she says.
I'm not sure but this guy just might be able to get by on less money due to rent control.https://www.businessinsider.com/an-investor-who-owns-4000-apartments-explains-why-multi-family-real-estate-is-the-best-investment-hes-made-2016-7
Yes, and minimum wage makes the impoverished joyful.
Gavin Newsome is a RE TARD!!!! On so many levels!!!
Only one country is seem to make this work but they didn't use rent control Singapore they built the largest amount of public housing only toped by probably China, and offered it at below-market rates and took a loss on it, they went from shantytowns to a world economic Hub in less than 40 years they have zero homeless very favorable low tax rates what they did there Los Angeles should consider looking into
One more "unintended" consequence.
What about lower rent incentives to landlords. Such as the landlords that keep their rent low get large property tax reductions and the ones that overcharge get increased property tax charges. Would that not act as a fair and balanced approach?
The problem is TO MANY HISPANICS IMMIGRANTS caused housing shortage
In California you have to have a two sometimes three person income to afford a dilapidated pile of shit. So I'm not sure how I feel on this subject.
Rent control is a good thing , the issue is not rent control , the issue in CA are regulations that prevent the building of housing
GO,LEAVE CALIFORNIA,its too crowded here anyway,go back,we don't need you here.
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