Renting: Can bidding wars be stopped?
Renting: Can bidding wars be stopped?
Intense competition for places to live is driving rents up and up, but is there hope for change?
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I had no idea this was going on.
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If they ban bidding wars, landlords will raise the listing prices above what they think it’s worth.
Then next year we’ll be hearing about empty apartments with crazy asking prices.
16 0 ReplySome people would rather earn no money than some money. It’s weird and what happens commonly in Buenos Aires. I think it might be the sunk cost fallacy.
7 0 ReplyFor investment property, the rent determines how much you can borrow against the property.
Long term it’s sometimes better to leave empty for a while than take the valuation hit.
13 0 ReplyIs "a while" 5 - 10 years? We're not talking about leaving it open for a season, but rather for years and years on end.
1 0 Reply
You'll more likely end up with a Dutch auction situation, where they start high and slowly drop the price until someone takes it.
6 0 ReplyEh, I doubt it. Let them try.
4 0 Reply