Counterintuitive to think this, yet it’s accurate and proven—
Rent control is a bad thing for tenants.
Studies show that rent control actually limits the supply of affordable housing.
Limited housing is the market force that drives up rental rates—it’s a classic supply and demand market.
Once supply is artificially constrained, and then revenue is likewise constrained, operating income falls. And then that creates a lack of funding to handle maintenance.
Deferred maintained compunction. Disrepair.
It’s a bad cycle.
By allowing landlords to charge market-rate rents, it incentivizes them to invest in their properties and maintain a high standard of living for their tenants. Plus, it encourages the construction of new housing options, increasing the overall supply and ultimately driving down prices in the long run.
Colorado has been considering various forms. Don’t do it.
