Biden's Bungled Rent Control Proposal
President Joe Biden announced a national rent control scheme capping annual rent increases at $55, but later clarified it to be a five percent ceiling. The proposal targets corporate landlords managing over 50 units and seeks to deny them federal tax breaks if they increase rents by more than five percent a year. Critics argue that this move is government overreach and could worsen the existing inflation issue.
Key Points
- Biden initially proposed a $55 cap on rent increases, later corrected to a five percent ceiling
- The plan targets corporate landlords with over 50 units
- Critics argue that the policy could worsen inflation and housing shortages
Pros
- Attempts to address rising housing costs
Cons
- Potential government overreach
- Could discourage investment in rental housing
- May not effectively control inflation