The highest mortgage rates in more than two decades are keeping many prospective homebuyers out of the market and discouraging homeowners who locked in ultra-low rates from listing their home for sale.
The dearth of available properties is propping up prices even as sales of previously occupied U.S. homes have slumped 21% through the first eight months of this year.
The combination of elevated rates and low home inventory has worsened the affordability crunch. Where does that leave homebuyers, given that some economists project that the average rate on a 30-year mortgage is unlikely to ease below 7% before next year?
It would encourage things like renter owned co-ops, and discourage things like LLCs owning a shitload of apartments.
It really wouldn’t, since all rental units would pay the tax. You’d just drive up cost of renting.
Good way to find the ceiling on rental prices I suppose