this post was submitted on 09 Dec 2024
281 points (86.1% liked)

No Stupid Questions

36047 readers
2877 users here now

No such thing. Ask away!

!nostupidquestions is a community dedicated to being helpful and answering each others' questions on various topics.

The rules for posting and commenting, besides the rules defined here for lemmy.world, are as follows:

Rules (interactive)


Rule 1- All posts must be legitimate questions. All post titles must include a question.

All posts must be legitimate questions, and all post titles must include a question. Questions that are joke or trolling questions, memes, song lyrics as title, etc. are not allowed here. See Rule 6 for all exceptions.



Rule 2- Your question subject cannot be illegal or NSFW material.

Your question subject cannot be illegal or NSFW material. You will be warned first, banned second.



Rule 3- Do not seek mental, medical and professional help here.

Do not seek mental, medical and professional help here. Breaking this rule will not get you or your post removed, but it will put you at risk, and possibly in danger.



Rule 4- No self promotion or upvote-farming of any kind.

That's it.



Rule 5- No baiting or sealioning or promoting an agenda.

Questions which, instead of being of an innocuous nature, are specifically intended (based on reports and in the opinion of our crack moderation team) to bait users into ideological wars on charged political topics will be removed and the authors warned - or banned - depending on severity.



Rule 6- Regarding META posts and joke questions.

Provided it is about the community itself, you may post non-question posts using the [META] tag on your post title.

On fridays, you are allowed to post meme and troll questions, on the condition that it's in text format only, and conforms with our other rules. These posts MUST include the [NSQ Friday] tag in their title.

If you post a serious question on friday and are looking only for legitimate answers, then please include the [Serious] tag on your post. Irrelevant replies will then be removed by moderators.



Rule 7- You can't intentionally annoy, mock, or harass other members.

If you intentionally annoy, mock, harass, or discriminate against any individual member, you will be removed.

Likewise, if you are a member, sympathiser or a resemblant of a movement that is known to largely hate, mock, discriminate against, and/or want to take lives of a group of people, and you were provably vocal about your hate, then you will be banned on sight.



Rule 8- All comments should try to stay relevant to their parent content.



Rule 9- Reposts from other platforms are not allowed.

Let everyone have their own content.



Rule 10- Majority of bots aren't allowed to participate here.



Credits

Our breathtaking icon was bestowed upon us by @Cevilia!

The greatest banner of all time: by @TheOneWithTheHair!

founded 2 years ago
MODERATORS
 

Reason I'm asking is because I have an aunt that owns like maybe 3 - 5 (not sure the exact amount) small townhouses around the city (well, when I say "city" think of like the areas around a city where theres no tall buildings, but only small 2-3 stories single family homes in the neighborhood) and have these houses up for rent, and honestly, my aunt and her husband doesn't seem like a terrible people. They still work a normal job, and have to pay taxes like everyone else have to. They still have their own debts to pay. I'm not sure exactly how, but my parents say they did a combination of saving up money and taking loans from banks to be able to buy these properties, fix them, then put them up for rent. They don't overcharge, and usually charge slightly below the market to retain tenants, and fix things (or hire people to fix things) when their tenants request them.

I mean, they are just trying to survive in this capitalistic world. They wanna save up for retirement, and fund their kids to college, and leave something for their kids, so they have less of stress in life. I don't see them as bad people. I mean, its not like they own multiple apartment buildings, or doing excessive wealth hoarding.

Do leftists mean people like my aunt too? Or are they an exception to the "landlords are bad" sentinment?

you are viewing a single comment's thread
view the rest of the comments
[–] enbyecho 0 points 2 days ago (1 children)

Note that I am playing devil's advocate here in order to tease out some of the nuances in people's thinking because I believe it's important for us all to understand the details and I'm not convinced many have thought it through. Hence the knee-jerk reaction to downvote

They are buying up a limited supply of properties that exist in desirable areas and then charging people for the right to use them plus a nice profit for themselves. This reduces the supply for a necessary good and drives up prices...

This describes any financial transaction in a capitalist system.

but you can also just be putting money into a business so that it has more money to grow its operations

And how is this different from buying a product like a house and renting it out? Would any such distinction apply to, say, renting out a car or renting out your services? And "renting" a product isn't really different from services or a cycle of buying low and selling high for anything other than the terms of the contract.

or you can invest it in a business that lets them use those resources now and lets you get your retirement money back 30 years from now when you need it

So like investing in real estate. For years that was considered kind of the gold standard of "safe" investments and generally providing a net annual return of about 5%.

That’s how investment can be a net benefit to society

I'm not convinced any investment can be a "net benefit" to society in a capitalist system. But proponents of renting out property argue it provides a "net benefit" by providing a needed service (housing) to those that aren't themselves in a position to buy. It is inherently usurious, just like everything capitalist.

So for me, bottom-line, the only valid argument to support making a distinction between real estate "investment" and other kinds of "investment" is to say that housing is a basic human right. And if you are going to go there, why not make other things human rights like happiness, a life free from financial stress, a life of fulfillment. From my perspective that leads to the inescapable conclusion that capitalism is inherently inhumane and thus any kind of investing is immoral.

[–] [email protected] 2 points 2 days ago* (last edited 2 days ago) (1 children)

This describes any financial transaction in a capitalist system.

No it does not. If I pay you to build a water desalinating machine then suddenly we'll have an abundance of fresh water. We've increased the available supply of drinking water overall.

Similarly building more housing is not as morally bankrupt as buying up existing housing and renting it back out at a profit. If you actually build more housing, you are providing a service; if you only get paid for the hours you work, you only make a reasonable amount of money, and you do a good job, you might actually be net benefit to society as a whole, as you are increasing the available supply of housing for people.

On the other hand when you live in a city where there is a limited supply of housing and you buy that up and rent it back to people at a profit so that you don't have to work, you are simply draining the system of resources.

There is a reason that economists literally use the term 'rent-seeking' to describe behaviour that is personally profitable while draining the efficiency of the system as a whole, and not all types of businesses (and thus investment in them) are considered to be rent-seeking.

[–] enbyecho -3 points 2 days ago* (last edited 2 days ago)

Oh yes it does.

We’ve increased the available supply of drinking water overall.

And then you charge up the wazoo for a basic human right.

On the other hand when you live in a city where there is a limited supply of housing and you buy that up and rent it back to people at a profit so that you don’t have to work, you are simply draining the system of resources.

Ah. It would appear you believe that somehow buying a property and renting it out does not require financial risk and effort like any other product or service. Renting out housing, despite frequent appearances, requires maintenance and expenses in order to reap a profit. What you are describing would more accurately describe investments in stocks or bonds which do not require anything but capital on your part.

" economists literally use the term ‘rent-seeking’ to describe behaviour"

Except those same economists argue that renting out housing is productive. And that's not in fact the origin of the term. The classic example, according to the wikipedia is charging money for boats to pass a section of river. The term does not refer to housing, which requires a reciprocal exchange - you build or buy the house and maintain it and in exchange you are paid for it's use.

To repeat because I have to: I'm not arguing this is good. I'm arguing that a distinction between types of capital investment cannot be made. You can say landlords are universally bad but other types of capitalists are good, universally or otherwise. It's the same damned thing.

Edit: I sometimes wonder if people think houses are like rivers because they haven't owned one. They are a huge pain in the ass and require a lot of expense and effort.