Could be: Rent control laws could be contributing to shortage of affordable housing (msn.com)
Basic microeconomics says price controls lead to shortages – and shortages lead to higher prices. For the housing market, price controls on rent may influence decisions on choosing to build new properties – for sale or rent. And, property owners may choose to take rentals off the market and put them up for sale – shrinking the supply of rental units.
There are many moving parts to the housing market – rent price controls are just one factor.
Ask yourself this: if rent price controls really work, then why do we not have price controls on health insurance or health care prices?
