Hacker News new | ask | show | jobs
by nanidin 2157 days ago
I follow along in /r/realestate and it seems that part of the motivation for this behavior is that the owners are usually leveraged - they don't own the property outright, or if they do, they have taken a loan against the property. If they lower rents, it impacts the valuation more than staying vacant and waiting for a new tenant, which in turn has implications on the loan & ability to obtain loans in the future.