Here’s an interesting idea to curb speculative investing: Create a rule that any new homebuyer must wait a year or two before renting out a property.
The Washington Post has a story about it being tried in a few places. Not a perfect solution, but slows that out-of-state speculation and the big investment companies are squealing so it must be working to some degree.
So far, homeowner associations are using this as a way to deal with absentee landlording. One of the big complaints is that the out of state companies buying these places don’t do background checks and fail to take care of the way properties look. The rules apply to new purchases, not existing relationships.
People selling houses can also insist that no investors need apply.
What say ye?
