Because I Have Relatively No Education in Economics and Political Policy--
--as a semi-“legendary” comic book writer I feel free to offer my thoughts on the rental housing crisis in America (and in particular my home state, California).
For what those thoughts are worth.
Which is probably not much, but hey, this Substack is free, right?
One would have to be in a coma not to know there's a rental housing crisis in the country, and for some indefinable reason, the Free Market isn't solving it. So maybe, just spit-balling here, it's time for government at all levels to lend a hand through tax policy, in an effort to achieve the following goals:
1) Provide more rental housing, period.
2) Provide financially accessible and sufficient rental housing for the homeless and first-time renters.
3) Provide financially secure rental housing for seniors.
4) Provide fair and sufficient profit returns to encourage private investors and developers-- in other words, use the Market, not the government, to build homes of high quality through market competition.
Here's my well-thought-out and economically and politically uneducated solution:
1) Competitive tax rebates for developers and investors who build quality rental homes with an *average* rental price equivalent to a (TBD) percentage of the *average* (not median) wage in a given locality. These rebates should rise past 100% on the basis of the quality of construction and the range of rental options available-- from single renters to families to elder-accessible. Let developers compete to provide the best, don't encourage a race to the bottom.
2) Tax rebates for rental housing that offers no-deposit leases and TBD percentage of income rental rates to the homeless and renters under 30, up to 100% for deposits if loss is incurred, and up to 100% between the rental rate and the *average* rental price of the local community. In effect, subsidize the difference between average local rental prices and the difference between the TBD percentage of the renter's income.
3) Tax rebates of 100% for all individuals over the age of 60 who've lived in their current apartment for 10 years, for the difference between payments under their pre-60 lease and the *average* rental housing of similar size and quality in the local community.
4) Tax rebates up to 100% for any developer who does not raise rental rates for individuals between the age of 55-60 above the *average* rental housing of similar size and quality in the local community.
5) *No* special tax rebates for rental owners renting to anyone (other than the previously homeless) between the age 30-55. (These are what I've heard economists describe as "prime earning years".)
6) Special tax breaks in addition to current tax breaks for everyone contributing to a personal IRA, 401K, or other private long-term investment option.
7) Up to 100% tax levied on rental housing converted to condominiums.
8) Reduction in tax breaks on business rental buildings, tax breaks for business buildings converted to quality rental housing.
9) In CA specifically, full repeal of Proposition 13.
So, those are my non-economist/non-political policymaker thoughts. Given the current crisis, I thought it was worthwhile to put an average "intelligent" (HA) guy's ideas out in the world, where most likely they'll be promptly forgotten or dismissed, but maybe, just maybe, provide someone somewhere in an actual policy making role, a little food for thought.
Thanks for reading. Be kind in your dismissive replies.
Because I Have Relatively No Education in Economics and Political Policy--
Been a fan since I was a kid and just found a copy of your novel Mindship (DAW, 1974) — which I vaguely recall from interviews you might have had mixed feelings about, but I'm still looking forward to reading it. Hope all is well with you Gerry!