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      05-24-2020, 12:52 PM   #38
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Quote:
Originally Posted by RickFLM4 View Post
Quote:
Originally Posted by ASAP View Post
The paragraph you mentioned says nothing about wage growth which is the real problem... as far as Miami and foreign owned investment; Miami Herald proved that only contributes to the issue by a few % points... lets make this clear the answer to everything is moving... weather, politics etc etc... however this should never be the only solution.
What solution do you want? Miami doesn’t have a lot of room to keep building single family homes so supply can’t keep growing except through high rises. Force higher wages or cap real estate values through legislation? Neither is going to happen.

If enough people leave an area, demand goes down and prices go down. If people don’t leave or people move in, demand and prices go up. Eventually if employers can’t find workers because workers can’t find housing, they either raise wages or leave the area. I am not familiar with the Herald study but find it hard to believe there isn’t a more than insignificant impact from foreign and out of state buyers.
You just said something very telling... demand needs to be driven down in major metro areas like Miami.

How can that happen? I can think of 2 things off the top of my head-

1) More people need to have the ability to wfh... if I think of the downtown metro area; I imagine many would not live there if their job didn't force them to. The us govt needs to incentivize this to companies with some sort of tax credits etc. This would limit congestion in general as well. Thats a country wide problem tho not just Miami alone...

2) Put in legislation in very congested areas that limits people purchasing strictly to invest... i.e... if you own more than one condo in this area; you need to physically live in one... not just purchase to rent or if you rent; you can only rent for a max number of years before you are forced to sell or have to move in yourself.