Rent controls encourage investment in housing because they bring stability to the market.

Question

Quizplus · Accepted Answer

Rent controls often discourage investment in housing because they can limit the potential profits that landlords can make. This makes the market less attractive to investors who might otherwise be interested in developing or improving properties. Additionally, rent controls can lead to lower quality rental housing and reduced maintenance because landlords may not have the same financial incentive to invest in upkeep and repairs.

Rent Controls Encourage Investment in Housing Because They Bring Stability