Renters will likely get doubly screwed as most localities will choose to raise property taxes, since their incompetent local governments can't cover-up their incompetence by printing money like the Federal Gvt can! This increase in property taxes will be passed on to...the renters! See Chicago, particularly. Property taxes are going up here a staggering 10-46%, depending on the neighborhood.
I'm not so sure. They'll try to pass it on but with increasing unemployment, DESPITE what the BLS reports (See 90K who dropped off the unemployment map because of expiring benefits) there will not be the demand. Maybe in higher end places it will work but in mid tier rental areas I'd imagine will all these people buying houses as well that rents will not be supported. So what will happen? Maybe the landlords walk away, the local gov takes possession, sells the house to Fannie for full mark-to-model value and Fannie increases it's landlord control, and probably doesn't raise the rent. Again....a worker's paradise.
Clarification: I'm not suggesting anyone go out and buy a house with their own money.
I'm suggesting you go buy a house with a zero-down FHA loan. It's a free option on hyperinflation, and you can walk away and stick it to the lousy Feds if it doesn't work out.
Gotta love the irony of leftist Obama bailing out Wall Street and housing speculators at the expense of the renters.
Any working-class people who support Obama are the biggest dupes in the world.
Commenting by HaloScan
