this post was submitted on 16 Aug 2023
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Well I mean...more and more people want to live in cities, and they're not making more waterfront apartments. Lots of people want that apartment now, so the price is higher. I don't know what you can do about that: you can't provide a beautiful corner apartment overlooking the water in a desirable city for $700 to all the millions of people who want one.
The problem is simple: in a perfect society we wouldn't increase flat prices simply so a landlord can make even more profit. There is no actual, logical reason why the flat should cost 5x as much, only made up ones that basically say "but I wanna!". There's no actual 5x increase in costs for the landlord, they pocket most of that additional rent.
Living space isn't something you should be able to profit this heavily from in a functioning society, as it's a basic necessity to life. It's alright that nicer flats cost more but nowadays we value huge additional profits to landlords higher than basic human rights, provocatively spoken.
There is of course the supposed capitalistic reason of doing so, which is to make it more lucrative for others to build additional homes. Additional homes should in turn dampen the prices again. This however hasn't been panning out the last few decades, as the prices have kept inflating.
In my area those who decide on new building projects own a lot of property, so they of course keep additional homes being build to a minimum to further increase prices of their property... it's a rigged system, by design.