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[–] 65 points 2 years ago (2 children)

Why can't they just offer the concession of lowering their rent in the first place, instead of relying on gimmicks like a first-year discount?

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  • [–] 50 points 2 years ago (1 child)

    Because downward trends in rent affect real estate futures, which affects lending rates, which could cause the artificially inflated property values to collapse.

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  • [–] 58 points 2 years ago (1 child)

    Not the artificially inflated property values!

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  • [–] 17 points 2 years ago (1 child)

    Won't somebody please think of the artificially inflated property values!

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  • [–] 5 points 2 years ago*

    Many people do think about the inflated property values. Namely the landlord, the landlord's accountant, the bank and the tax office.

    So, for every single property there are at least 4 people thinking about the property value, because that's where their money comes from.

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  • [–] 4 points 2 years ago

    A lot of apartments in my area do first year discounts. The reason for that is a lot of cities have rules about how much you can raise rent in a year. Discounts are a loophole since they can raise it based off the non-discounted value. Also moving sucks and a new place has a chance of being terrible (and you're stuck for a year). So people are more willing to pay an increase once they're already in an apartment they tolerate.

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