[bombcar]

The only reason people bother owning multiple dwelling units is because they're a "good investment" because there's more demand than supply.

Let supply outstrip demand and suddenly they're not a good investment anymore, so people go back to owning them for living in.

[zbrozek]

My parents own three, none of which they keep as an investment. One is their primary home, a second is their winter escape, and a third was supposed to be a place for my grandmother. But she died shortly after my parents bought it, and they can't be bothered to sell or rent it to anybody. So it's a storage unit now.

Not that this is a good use of a perfectly fine basic housing unit, but it isn't an investment.

[Elinvynia]

So your parents are preventing two young families from starting their lives.

Seriously, a "winter escape"? Literally noone needs that. Literally noone should have that until everybody's basic needs are met.

Which won't happen with all these "storage unit" houses there are.

[bombcar]

I don't necessarily agree that "nobody should have X until everyone has Y" is a workable general rule; no family should have two cars until everyone has one; no family should have two jobs until everyone has one.

The second home is already slightly tax disadvantaged compared to the primary residence, perhaps it should be "punished" more.

[bombcar]

Which is why I assume the parent post mentioned 4, I would have said two or three myself (as your example shows).

If that third house had some form of tax penalty associated with it being unused/empty they might bother to sell it.

But the housing crisis isn't perpetuated by empty homes in general; empty homes exist because there's an investment aspect of it. If the grandma house was losing at IRS depreciation rates, it'd likely be sold (though a storage unit might cost a similar amount).

[zbrozek]

I keep trying to convince my parents to sell it. They're spending a lot of money on it for property taxes and HOA fees (it's a condo unit) but they simply don't care enough. On the bright side, it's in a town that hasn't yet been swept up by the housing crisis. Only a matter of time though.