This simply shows the massive inequality that is globally rampant. And that the idea of “private property” is inhumane.
Here’s how it works in modern times. People with modest jobs and wages move into an area, forming a neighborhood. They may know the landlord personally(a la Fred and Ethel Mertz) and certainly know the building super. Local shops provide all their needs.
Then trendy people, not the 1% perhaps, notice the area. A bit run down, but, hey, look at the cool shops and neat buildings, not to mention lower rents. So they move in, bit by bit, sprucing up the place. Rents begin to increase to a level unpayable by the old-timers, and they are forced out as are the “cool shops”. It’s called gentrification, and it’s gutted neighborhoods globally.
An equal development is the influx of foreign cash and buyers, trying to find ways to keep their vast amounts of wealth. They buy up every building in sight, and rents as well as home prices soar into the stratosphere. Look at Vancouver and Toronto in Canada, London(rife with Russian plutocrats), Hong Kong. The 90% can’t even afford a studio apartment in the outer burbs of GTA(Greater Toronto Area). Vancouver is impossible for real people.
Back in the Dirty Thirties, people held “rent parties”, usually on Saturday nights. Entertainment was home-grown and food was modest in cost. People would donate whatever they could afford. All had a good time.
Trying to find the real owners of an apartment complex is not for the faint of heart. There are layers and layers of shell companies, with even the maintenance farmed out to a corporation separate from management, which is separate from the owner of record on tax receipts, who is different from the owner on the deed for the building, who is different from…oh, hell, I went through seven different shell companies until I finally found the real estate billionaire located in Ann Arbor. Was trying to form a tenant’s union and set up an escrow fund for our rent monies and needed to know the exact owner.
It’s profit over people, with each corporate layer taking its cut. Mortgages are easier, but banks are so willing to foreclose anymore because they have no real assets and need cash inflow. Think about this-banks kept lending Donald Trump millions upon millions for all of his grand projects while he was losing even more money. The casinos in Atlantic City should have crashed the system; instead, the banks kept quiet.
The New Year could mirror 1933 in many ways, including bank runs as people wake up to the fact it’s all smoke and mirrors and the well is dry. If we join together and demand there be no more gentrification, no more buying up of properties by foreign investors, and that tenants will be granted part ownership of a building, to run it jointly, we’ll be much better off. Shelter is a human right!!!
What I would like to know is, some day, when the eviction moratorium ends, what then? By that time millions of renters, and many people with mortgages as well, will be thousands, perhaps, over ten thousand, dollars in arrears. What the hell is the average American who makes about $30,000 a year going to do then?
The can has been kicked even further down the road. But by summer, the homeless population of the USA will still explode.
What I find concerning from the article:
Tenants will not have to prove their financial hardship and will not be subjected to income limits.
In other words, this is simply a gift to renters at the expense of owners, who in turn will not be off the hook for their bills. If it were means tested, or limited to those who were, in fact, disadvantaged by the virus, there would be justification. But as it stands, it is merely an attempt to buy votes from renters at the expense of landlords.
Just one more reason not to own investment property.
Millions face “housing insecurity”?!?!? Housing insecurity is having to go live with your Dad and his whackjob girlfriend for the summer. This is fucking homelessness.
Good point, but this situation is causing hundreds of people, here in the US, to loose their lives. It is a virus, an act of God, so to speak. It is an emergency.
This will also be resolved, especially now that we have a vaccine, and landlords have the right to demand a moratorium on the real estate taxes they pay. But the well being of people comes first. All else can be resolved at a later date.
The US, maybe the whole world, needs a green jobs and green infrastructure program. Stimulus by direct payment is very compassionate, but does nothing to correct long-term problems cause by changes in society. Buying patterns have changed, eliminated store jobs. Technology continues to automate, creating job opportunities mostly for the better educated among us.
Green growth could help these people and give the nation’s what they need.
China has been trying to give stimulus with its Belt Rad initiatives, magnificent high speed rail, but sadly they are not altogether growing green yet, still spreading coal. I am not on the bandwagon to hate China, but I certainly do hate coal burning.
I read just recently (maybe here on CD) that back rent is currently estimated at about 80 billion. Even if that doubles before this is over that’s still just 150 billion (just a few weeks worth of Iraq war). Our exceptional country ought to be able to pay it off - whether it wants to or not is a different story…
Wah, the war mongers are not going to like that.
Speaking of Atlantic City:
Its way past time for NY to reform the property tax scam on our homes to fund public education and change to income as the measure, not our homes! We need reform not BS “relief” for unsustainable and manipulated property taxes!
The Covid-19 pandemic makes property tax reform critical for NY NOW!
The obscene rise in increasingly unsustainable NY property taxes can be traced to1972 - "In 1972, New York State had a personal income tax with 14 brackets, ranging from a low of 2% to a high of 15%.- All five of New York’s current rates are between 4% (the current lowest rate) and 6.85% (the current highest rate). The change Increased the Tax Burden on the Middle Class and Cut Taxes for its Highest Income Taxpayers by Over $8 Billion a Year (in 1972 dollars!)
~http://fiscalpolicy.org/the-path-not-taken-how-new-york-state-increased-the-tax-burden-on-the-middle-class-and-cut-taxes-for-its-highest-income-taxpayers-by-over-8-billion-a-year - how the rich and corrupt politicians screwed NN home-owners and still forces many out of their homes!
The Equity in Education Act,reforms once championed by Rep Kevin Cahill (since largely silent - why?), was betrayed and sabotaged to foist property-tax “relief” on us, which did little to alter the onerous equation, rather than property tax reform. - words matter!
~https://nyassembly.gov/leg/?default_fld=&leg_video=&bn=A00091&term=2017&Summary=Y&Text=Y - text of Act
The so-called “relief” tax-cap proposal was a sellout that did little or nothing to really help home-owners (and our economy); a scam supported by craven representatives and Albany, including Gov. Andy Cuomo; only one among many betrayals by that corrupt office and politician.
The Act would have shifted funding for public education from our homes to income, the ability to pay, and given all school districts the resources for all NY children to receive a quality education, not only “rich” districts.
There were many other benefits for the Equity in Education Act that would have protected open space and farms taxed at the “highest and best use” - like if the land was condos, rather than what a farmer actually produced and made as income!
We were screwed then to protect the 1% rich like trump et al, and tax-evader corporations and are still being forced out or must choose between food and some measure of security and paying corrupt highly-inflated manipulated BS assessments to gouge home-owners.
It is NOW time to pass the Equity in Education Act in NY State to save the middle-class and low income home-owners, protect vanishing farms and give ALL NY kids great educations!
Call Kevin Cahill ( [518-455-4436 Albany, or 845-338-9610 District office) and all NY reps, especially legislative leaders Andrea Stewart-Cousins and Robert Ortt, demanding action to pass the Equity in Education Act!
So when a landlord cannot pay his mortgage because his tenant cannot pay their rent and the bank repossesses the property will bank be allowed to evict the tenants? I think the answer lies within the question.
Sounds like fun, and for a good cause.
“A moratorium on the real estate taxes they pay”
THAT is one moratorium we will NEVER see - on taxes.
Yepper! Especially now that the federal government refuses to support the states, during the corona pandemic. But the Supreme Court may have a role to play, somewhere in the future.
I listened to that interview with the mayor of Atlantic City on CBC Radio’s program As it Happens. At first I thought I’d overdone my meds, it was so weird. Then I realized, it’s a typical Trump pattern on a small scale. Carl Icahn, prince of strip-mining corporations of employees, is now being wooed by a very desperate mayor, who knows gambling as a pastime is so over when people can’t even pay the rent. And Icahn is promising another Trump-like glitz project in return for imploding Trump Plaza, while making said implosion into a lottery. So much wrong with this picture that it proves that Uncle Sam is a zombie.