VaderTower t1_j697ehr wrote on January 28, 2023 at 5:31 PM

Reply to comment by Fallout_NewCheese in Nixa’s Giddens Says Developers Consider Springfield Closed For Business. by [deleted]

Supply and demand, if you build more apartments/homes (add supply) it will drive demand down, when that happens a unit will sit empty and a landlord will have to decide if they want to lose money on keeping it unoccupied or rent it cheap to have someone there.

22TopShelf22 t1_j6a46jx wrote on January 28, 2023 at 9:16 PM

No. Increased supply means increased competition which means decreased rents.

VaderTower t1_j6astlj wrote on January 29, 2023 at 12:16 AM

I feel like you reiterated my point, are you disagreeing?

Increased supply (more units built to rent), decreases demand (less people wanting to rent) by increasing competition (more units on the market vying for the same set number of renters), means decreased rent.

I suppose my point of leaving a unit empty or decreasing rent was somewhat reductionist, but still what will happen.

Ultimately the only point, that isn't up for debate is that... More units built = cheaper rent.