Tuesday, August 25, 2015

Rent Control Madness New York City vs. San Francisco

Trulia reports:
 In New York City, there are two types of rent increase restrictions: (1) Rent-stabilization and (2) Rent-control. In some areas up to 81% of apartments are rent controlled.
[Overall] 82% of multifamily units in San Francisco are under rent control [In many areas 100% of units are under rent control]. Older neighborhoods, such as Downtown, the Marina, Russian Hill, and Nob Hill which feature more historic buildings, rank higher on the list. On the flipside, SoMa and Mission Bay, where much of the newer luxury residential homes are being built right now, ranks lower.

And, anyone who understands economics 101 should not be surprised by this Trulia note:
 Ask any renter in New York City and San Francisco and they’ll tell you that the rents are too damn high. Sadly, they aren’t exaggerating. The median rent for both cities now exceed $3,000 a month – higher than any other rental market in the country. 


1 comment:

  1. The it talks about AFFORDABILITY and neglects to talk about AVAILABILITY.

    The inclusion of the map gives the impression one can go easily find a rent control apartment in any of the green areas. This is the wrong impression.

    If someone is giving away freebies, those freebies tend to disappear quite quickly. It should be really really hard to acquire a rent control apartment because occupants will be hanging on to them for dear life. It is the EXPENSIVE areas that would have vacancies.

    Rent control keeps things cheap for insiders, and more expensive for outsiders.