Why the rental housing market is so deeply broken

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Why home renting is so broken that it got Adam Neumann’s attention

The details of how Flow will work are still vague, but they're likely to include amenitization — bells and whistles for apartment renters — as well as some kind of financial upside."Someone who is bought in to where he lives cares more about where he lives," writes Andreessen. "Without this, apartments don’t generate any bond between person and place and without community, no bond between person to person.

Neighborhoods characterized by very low home-ownership rates — think Harlem, in New York, or Hialeah, in Miami — often boast deep and lasting communities stretching across generations and decades."Ownership per se doesn’t make you more invested in your community," Sam Chandan, the director of the NYU Stern Center for Real Estate Finance Research, tells Axios. "It makes you more invested in decisions in the community that impact the value of your asset.

It's entirely possible that Neumann will be successful at marketing buzzy properties to upwardly-mobile renters in fast-growing cities like Nashville.

 

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