Cities offer opportunities not found in rural areas such as higher income, security, high-quality facilities and healthcare, and education. For those who seek such opportunities, living in the city would seem very attractive. However, such a lifestyle is inaccessible for many people living in the rural areas surrounding Paris due to the lack of affordable housing in Paris. Therefore, the Parisian government is implementing a 60 percent surcharge on the preexistent residence tax, or taxe d’habitation targeting unoccupied, habitable Parisian homes to allow greater access to the benefits of living in Paris. The tax is intended to financially incentivize owners of unoccupied Parisian homes to lease or sell, alleviating the housing shortage. …show more content…
The residence tax is calculated by halving the notional rental value, or valeur locative cadastrale of the property, which is determined by the local government based on factors such as size, condition, and location. The notional rental value does not consider traditional determinants of property value like supply and demand, which in this case are limited and inflated, respectively. Moreover, the notional rental values have not been updated since the 1970s, adjusted for inflation, or responded to rising demand. Therefore, notional rental values do not accurately reflect rental values under normal market conditions but a property’s speculative yield instead, which is significantly lower than the inflated Parisian housing market rates. AB Kasha estate agent, Alon Kasha, who specializes in high-end properties on the upscale Parisian Left Bank said that the tax hike will have little impact due its relatively small sum, stating that “it’s a non-issue.” Kasha also claims that the updated residence tax will only result in an annual expense of 1,500 euros for properties worth around a million euros—a paucity relative to the value of the homes. An annual residence tax of 1,500 euros would mean that properties priced around a million euros would have a notional rental value of 3,000 euros, only 900 euros above the market rental value of a normal sized, 900
With Massachusetts State spending on affordable housing and open space at a historic low, when considered as a percentage of the total budget, the production of dwelling units and the conservation of land have become the responsibility of local government, but cities and towns do not build housing, except in rare circumstances. As well they do not routinely buy expensive tracts of open land,
For those only weakly committed to city living, particularly middle-class people who have serious difficulty with social diversity and who have clear housing alternatives, the "problem-free" suburbs become tempting. After an incident such as a car break-in or a bicycle theft, a "last straw" can make them leave. (249)
Compared to the distribution of France and other European countries, there isn’t a concentration of social housing purely towards the periphery of the city. Rather, social housing can be found even in parts of the downtown core, and other high activity urban spaces. Furthermore, towards
What is known about the dearth of inexpensive living spaces in high-cost, heavy populated areas is its scarcity is a function of supply. Demand remains a non-issue for policy makers as demand has
Gentrification is a major reason for the increase in rent prices throughout New York City. Harlem rent prices have gone up over the past years because of new condominiums and businesses that are being built in neighborhoods. The displacement of residents leads to an increase of people becoming homeless in the city. According to the author, Ivan Pereira, “Harlem saw a 9.4 % average rent price increase during that same period from $2,191 last year to $ 2,397 in January” (Pereira 1). The change causes longtime residents to move out because of a variety of factors including unaffordability, pressure from property owners, diminishing or lack of stores that cater to them and many more. The more condominiums and business’s being built makes living
Urbanization is inevitable, whether we want it or not. Opposers are constantly bickering about the political and moral consequences of gentrification. This topic is indeed mind boggling and complex. However, there is a need to observe this multi-faceted phenomenon in a different angle. Change is the force of diversity, safety and
The area has highly been affected by the raising taxes and other property values. The homeowners have had difficulties in buying and living in these houses because of the increased taxes. This is because the property values have gone high due to the demand causing increase in taxes. This rise is usually extended to the tenants by the landlords and they find themselves vacating the houses due to high rents. The landlords might sometimes be unable to pay the tax leading to a sell of the houses.
Many large cities are experiencing skyrocketing rental/housing price because of the excessive demand and more importantly, the scarcity of land. San Francisco, as one of the most important financial centers in the world, is facing a serious dilemma due to its inflated rental/housing prices; people’s dissatisfaction over the government grow as they are excluded from the access to proper housing. San Francisco has the highest rents of any large city in the United States, which makes people, especially from low and medium income group, hard to acquire housing near their workplaces and force to commute from other regions of Bay area into the city. In other words, the high housing prices are pushing people as well as the productive industry out of the city. While people are accusing the government of being responsible for the failure of housing since it underestimates the rate of population growth, which leads to a shortage in the housing market. However, statistic shows that San Francisco actually built more than 30 percent more housing units per capita than New York City and Los Angeles in 2014. (Henry Grabar, 2015) It is because such shortage is artificially created by the policy makers to constraint land use, hence, increasing the supply of housing does not efficiently decrease the housing. The fundamental cause of this imbalanced housing market is the poor allocation of land use.
As citizens have been living through the hazards of others over buying their homes or having their homes removed to another area by the government, many people in other communities has struggled to maintain to keep property of homes that they’ll feel comfortable living. Though some believe gentrification ameliorates poverty-stricken neighborhoods, gentrification increases prices of homes and rent and extrude tenants from their homes. Some may argue that gentrification enhance the community by making the neighborhood cleaner and safer however, those who agree with the process of gentrification fail to realize that residents who are living comfortably in their homes are being forced into making unwanted changes. For example, as people homes
Gentrification would have the potential to be good if the people who have been long-time residences got to live in and enjoy the new community. Unfortunately, the opposite often takes place with gentrification. Current residents often get evicted and displaced due to rising rent and new demands by the people coming in. The people getting displaced are often minorities who get evicted from their own neighborhoods before being able to experience the changes for themselves. Before people are forced to leave, the state gives them a voucher. A voucher is a discount the state gives you to leave and go to another town. With this voucher you can only go to certain places. You can only go where the voucher tells you to go. For example, if you currently live in South Central, Los Angeles and the voucher says you can move to Watts, then can
Multiple reasons exist for the the lack of affordable housing. On the demand side these include population growth and increased migration to urban areas, easily accessible housing finance, tax incentives and a “strong cultural preference for owner-occupied detached houses”. On the supply side, affordability problems are exacerbated by inflexible and slow responses to the need for new housing stock, lack of infrastructure and generally inefficient planning processes and development assessment by local governments.
Gentrification is a problem that is occurring in many communities. The city of Boyle Heights in East Los Angeles is one of the communities that the citizens of the community are notice new apartments build, galleries owner by rich people, and high prices for apartment the people are not able to afford to live there. Because the renewal of neighborhood environments that transform and attract middle and upper-class households and investors, creating problems for those who cannot afford rises of rents. According to O’Regan, “some of the biggest concerns about gentrification-potential displacement and increased rent burdens-are driven by rent or housing cost increases” (152). The only way to
High Density is said to be the future of residential housing, although not everyone agrees to this way of thinking.
Gentrification has been a controversial issue both in urban planning and politics primarily due to the displacement of poor people by the rich folks (Shaw & Hagemans, 2015). Many individuals have viewed gentrification as an illegal act that should be avoided at all costs. On the other hand, another group of people believe that gentrification is the way forward to promoting growth and development. With such contrasting ideas, this paper is going to take a look at gentrification from a positive and negative perspective, its effects, and how it can be prevented or contained. Apart from this, the paper will also address the following questions.
A Slum refers to informal settlements within urban areas or cities. The informal settlements depict inadequate housing and miserable condition with reference to living standards (Meade p 43). In the slums, numerous individuals seek housing facilities within small living spaces. The slums also lack basic local authority services such as sanitation, collection of waste, water, drainage systems, street lighting, and emergency roads. Most slums also lack schools, hospital, and public places that might offer adequate environment for social amenities. The experience of France illustrates the essence of slums within the modern society (Oberti p 58). Crime and unemployment are on the rise within the slums because of the poor