Here's the conclusion:
The best solution to the entire problem is greater access: freer and more-open markets, in both mortgage-funding and urban land use.
The financial return on owning a house should come mainly from its rental value, not from excessive capital gains. That should be enough to make owning a home worthwhile. If it isn’t enough, more people will choose to rent, rents will rise, and so will the rental value of homes and the financial return on homeownership.
Today, families are not necessarily choosing to be renters. Many are renters even though it would be worthwhile to them to own their home if they could. Rents are rising just about everywhere today because we have eliminated choices.
Solve the problem of access, and affordability will follow. Choices are the key to the goal of affordability and fairness. We need to make more of those choices legal again.
A hearty congatulations!
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Thanks!
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DeleteGreat article, Kevin.
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Thanks! Shouting it from the mountaintops, as Tyler says.
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