12 Discussion, 150 words Initial post and two replies each

M3: Discussion 3.1.

Instructions

Please read the problem presented in 

this article (Links to an external site.)

 carefully.

Answer the following questions:

1. Why are homeless shelters full?

2. Why are luxury condos vacant?

3. Identify which Market has an excess supply or excess demand.

M3: Discussion 3.2

Instructions

Provide an original post and 2 feedback posts to other students’ responses.

Read the following article: 

A Disgruntled Republican in Nashville (Links to an external site.)

Using information Module 3 provides a short answer for the following question:  What would happen if we followed Councilman Sean Parker’s (Links to an external site.)
 call for banning “Evictions … until Davidson County’s unemployment rate returns to 2.8%..



Elena Masotta (She/Her)

TuesdayFeb 8 at 10:03pm

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1. Why are homeless shelters full?

Homeless shelters are full because the real estate in NYC is too centered around luxury condos. All resources are going to building and selling these condos which are not being sold. In turn, there is not enough focus on lower class people, which make up the majority of NYC. The focus on foreign customers is the issue here. There are not enough affordable, lower class housing options, causing homeless shelters to fill. 

2. Why are luxury condos vacant?

Luxury condos are vacant in NYC because they are targeting foreign customers. The are article states that “these luxury condos weren’t exclusively built for locals. They were also made for foreigners with tens of millions of dollars to spare.” These foreign customers do not provide sufficient demand for this supply. Due to economic issues in China, rich foreign people are not focusing on buying condos in NYC. Because of this and the fact that there was so much focus on building and selling these luxury condos, they remain vacant. 

3. Identify which Market has an excess supply or excess demand.

The luxury condo market has excess supply (could also be considered the upper-class luxury living market)

The lower class/homeless living facility market has excess demand

Hunter Forrest

Hunter Forrest

TuesdayFeb 8 at 2:25pm

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· Why are homeless shelters full?

· After reading the article it seems that the homeless shelters are full due to real estate being focused on building luxurious apartments instead of building more cost-efficient homes for the middle-class. With the U.S. population growing rapidly the real estate market could not keep up with building homes. This has led to owning a home being a very luxurious trait for an adult and young adult homeowners have drastically declined over the years. If we focus on Manhattan especially, real estate developers seem to care more about lining their pockets than providing needed homes to people. Those developers have to live with their choice since those same apartments have gone unsold for the last five years.

· Why are luxury condos vacant?

· Luxury condos are vacant because the intended customers that the developers hoped would buy them were faced with some economic difficulties. The article states, “But the Chinese economy slowed, while declining oil prices dampened the demand for pieds-à-terre among Russian and Middle Eastern zillionaires,” (Thompson 2020). This is just one of the factors that impaired the intended customers and I believe that more condos have become vacant or have continued to stay vacant. Since their intended customers were foreign, I think the COVID-19 Pandemic only made it worse with travel being restricted.

· Identify which Market has an excess supply or excess demand.

· Middle–class/Poorclass homes and shelters are in excess demand. 

· This demand is focused in Manhattan but can be applied to the rest of the United States

· Luxury condos and apartments are in excess supply.

· In general, homes have seen many updates and the “70s mansion” has become the norm for many houses across the country. Unfortunately, many adults are not able to afford these homes which is why they are left vacant.


Pujan Janak Panchal (He/Him)

TuesdayFeb 8 at 9:41pm

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I believe that prohibiting eviction is a bad idea. For many people, renting out a space is one way to make money. People will be able to generate income if they have extra space or buy extra space in the future. However, if they are expected to give that space away for free, it is pointless to have it. The housing market will be disrupted as a result of this. No one will be willing to purchase new space, leaving the area unusable, or businesses may purchase for their own use. Many may also refuse to share space they already have, posing a challenge for tenants who pay their rent on time.

Many renters may refuse to pay, claiming to be unemployed when, in truth, they simply want to live freely. Another scenario is that individuals would deliberately avoid looking for employment because having a job and a pay check is required to have a house and food. They may not work as hard as they should when they have a free place to live, resulting in greater unemployment.

If unemployment must be lowered, surveys should be conducted to establish what efforts should be taken to get the jobless rate down below 2.8 percent. Giving out free stuff isn’t going to solve the problem.



Hunter Forrest

YesterdayFeb 9 at 1:28pm

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Using information from the article, I do not think I would support the banning of “Evictions … until Davidson County’s unemployment rate returns to 2.8%,” (Williams 2020). As the author said in the article the 2.8% was the lowest rate the county has ever seen and it is possible they will get there again but not for a number of years. Maybe the council could think about raising that number to whatever the average unemployment was over the past 10 years. That number would be more accurate than what the county normally experiences without the eviction ban.  I do not know if I agree with keeping the ban based on the unemployment rate either because it may not get to that number for a long time and there is the possibility that people will take advantage of it.  By taking advantage of it I mean they will want to keep the rate below whatever number is decided so they can remain living in the home for free.