The Patriot Post® · Statism for Renters, Biden Style

In an election year, candidates on both sides of the political aisle tease voters with promises that sound good but either won’t see the light of day or don’t really help anyone except self-serving politicians.

Take rent control, for example.

Rental rates are soaring across the nation, making it nearly impossible for individuals or families to afford rent and still have money to put food on the table. Those who struggle to make ends meet are looking for answers, and Democrats are hoping they’ll fall for another government scheme.

Joe Biden is asking Congress to cap rental rates across the country. As always, it’s government interference that won’t solve the problem. In fact, it’ll make it much worse. Maybe that’s the plan. Democrats enjoy blaming others for the problems they’ve created themselves and then riding in on white horses to save the day.

“Rents are not escalating because of greed, although that’s what Biden will claim,” writes Ed Morrissey at Hot Air. “Rents are going up because cities have zoning and other regulations that discourage housing construction.” He adds, “Population growth creates more demand for housing, but without adding enough residential units to keep up, the demand drives the prices up.”

It’s not surprising that Democrats are talking about rent control during an election year. Putting seeds of thought into the public lexicon inevitably creates political demand for the “goods.” Insist that health insurance is a “right,” and pretty soon you end up with ObamaCare. Demand “free” college tuition, and before long you end up with student loan “forgiveness.” The same goes for rent control. It sounds good and feels good to those unable to pay their rent each month, but like most government policies and programs, it hurts more people than it helps.

According to the National Apartment Association, “With little to no ability to earn a profit, investors will transfer their funding to other non-rent controlled jurisdictions. In practice, these policies have the effect of increasing the cost of all housing by forcing a growing community to compete for fewer units.”

Calling for rent control is yet another socialist scheme designed to trick the American people into thinking the government is on their side.

In reality, rent controls inhibit development, cause rental rates to skyrocket, and cause current units to fall into disrepair. Those stuck in a rent-controlled apartment can’t leave because they’re priced out of non-controlled units.

No one benefits except those in power.

Rent controls also create a government bureaucracy in which non-elected people with little or no experience in the industry make critical decisions without considering free market factors. They enact mountains of red tape when repairs are needed, and even enact “just cause” eviction policies, making it impossible for landlords to evict tenants for non-payment or other issues.

As always, there are real solutions that can help everyone involved.

One approach that would open the door for the construction of new rental units is removing some of the barriers that make it expensive and burdensome for developers. The result would be a greater supply of both rental units and housing, thus lowering costs for those seeking to rent or buy.

But this option isn’t supported by Democrats like Biden who want power, not prosperity, for the people they claim to represent.

Of course, the best way to test whether a Democrat policy is viable is to observe how it’s already being implemented.

At the Competitive Enterprise Institute, Ryan Young does just this. “The best way to lower rents is to build more housing,” he writes. “Higher supplies equal lower prices. For example, Austin, Texas is allowing new housing to be built at ten times the rate as San Francisco. As a result, Austin rents are falling 7 percent per year, while Bay Area rents continue to soar. St. Paul, Minnesota passed a 3 percent rent increase cap in 2022. Permits issues there for new multifamily housing decreased by 65 percent in one year, while they increased by 61 percent in next-door Minneapolis.”

And let’s not forget about New York City. The Wall Street Journal reports, “It’s hard to think of a worse idea than imposing rent control nationwide through the tax code. It would reduce investment in new supply and drive up rents in units not subject to government caps. Look at New York City where nearly half of units are ‘rent stabilized,’ and the average one-bedroom apartment costs $4,300 a month.”

Rent control is a bad public policy that fails wherever and whenever it is enacted. That’s why so many states have restrictions against it. It’s a quick fix to make voters think politicians and bureaucrats who created this problem are here to help.

As they slip in the polls, Democrat candidates are getting more radical, and rent control is just another way of hurting the American people in exchange for political control.

The best way to address high rent, inflation, and other problems is to show them the door in November.