Tax Incentives to Landlords for Low Rent Rates
Is it becoming unaffordable to rent in the City?
As of March 2018, average rent for an apartment in Marquette, MI is $793 which is a $100 increase in less than ten years, and a 3.03% increase from last month when the average rent was $769.
At one point in 2016, average rental prices for one to two bedroom apartments were hovering over $1,000. Until wages and income in the city can catch up, the drastic fluctuations are too difficult for renters to budget, causing evictions and a strain on property managers and landlords. A “a citywide system of government social insurance for renters” may help.
Households that see their rents go up could be eligible for tax credits or welfare payments to offset rent hikes, and vouchers to help pay the cost of moving. The money for the system would come from taxes on landlords [that raise rent] which would effectively spread the cost among all renters and landowners instead of laying the burden on the vulnerable few
Do you support tax incentives for landlords to keep rental rates affordable? It would tax landlords who increase rent to…
More evidence will tell us if this a viable solution for Marquette. If landlords are facing increases because of city taxes, if they have reflective reasonable rental rates, they may benefit if offered tax relief to pass savings along to tenants.
I am not confident more government is the most suitable option here, but we need to recognize and address that rental rates have been increasingly unaffordable compared to income for many years. If the city can do something, we need to intervene without resorting to rent control, which many studies show does not work.