Saw this post on Instagram (https://www.instagram.com/reel/DAjCAJYusg6/?igsh=djRsOGh3ZzhyY2Zr ) which claims that the removal of rent control in Buenos Aires led to an increase in available housing and a decrease in housing prices which seems counter-intuitive to me.
Is the increase in availability due to landlords raising the rent and forcing existing renters out ( thus more availability)? But how then are the prices of these places somehow lower?
What am I missing?
In: Economics
Some of these restrictions were so annoying to deal with that people who owned an apartment they could rent either didn’t rent it at all, lived in it themselves or did something else with it.
For example in my US apartment the previous owners just sold the building because they are almost 70 and didn’t want to deal with all the effort anymore. It had nothing to do with the money side of things because they were making good money either way.
So in Argentina if owning and renting out an apartment is suddenly less effort and headache than more people may try to rent out their apartments.
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