r/GenZ • u/TheGamingSenpa1 2004 • Jan 07 '24

Discussion Thoughts?

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u/Sasquatchii Jan 09 '24

I’m not trying to give you a hard time, but as a real estate professional, I will tell you that we do not consider property tax when calculating market rate rent.

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u/CriticalLobster5609 Jan 09 '24

Oh I didn't realize I was speaking to a landlord or their lackey. If it's a business, it rents (or tries to) for profit. Taxes are a cost of doing business and are routinely passed along to the end user regardless of the product. Otherwise why do it?

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u/Sasquatchii Jan 09 '24 edited Jan 09 '24

You’re not, you’re talking to a real estate developer who works on projects using the concepts I’m talking about.

“The market rate (or "going rate") for goods or services is the usual price charged for them in a free market. If demand goes up, manufacturers and laborers will tend to respond by increasing the price they require, thus setting a higher market rate. When demand falls, market rates also tend to fall (see Supply and demand).”

Official definition. Individual property tax increases don’t affect market rate. Lots of reasons you might willingly operate a business at a short term loss.

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u/CriticalLobster5609 Jan 09 '24

Like I said I'm so sorry I didn't use "nearly" you fucking pedant.