How Do Taxation and Regulation Affect the Real Estate Market?

Mathias Dolls, David Gstrein, Carla Krolage and Florian Neumeier

EconPol Forum, 2022, vol. 23, issue 05, 65-69

Abstract: Rent caps can have significant unintended consequences through lower housing supply Instead of making housing more affordable, purchase subsidies have provided a windfall for sellers The real estate transfer tax levied on properties’ purchase price substantially decreases property prices The Covid-19 pandemic may leave long-lasting impacts on Germany’s housing market Policymakers would be well advised to take into account such trends and side effects when formulating policy

Date: 2022
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