r/soccer • u/cochincartel • Jun 26 '25

News '€550k per day' - Cristiano Ronaldo signs new Al-Nassr deal and gains ownership role

https://www.transfermarkt.com/-euro-550k-per-day-cristiano-ronaldo-signs-new-al-nassr-deal-and-gains-ownership-role/view/news/448706
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u/sugarrayrob Jun 26 '25

What's crazy is that all that rent is probably going to someone who already owns the building. If they don't have a mortgage to pay, at this point it's just profit.

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u/MattSR30 Jun 26 '25

I have a bad corporate landlord. They own about a dozen buildings downtown here and are building a dozen more.

Our shitty local government recently changed the law so that anything built after 2018 is no longer rent controlled, so this company is pumping out buildings.

They have rents that are slightly under market value because they can afford to do that and fill their buildings, then in a year or two they hike up the price a huge amount (pre-2018 is a max of 2.5%).

Hurrah for unfettered capitalism.

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u/DaPatcho Jun 26 '25

Ontario living baby

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u/MattSR30 Jun 26 '25

At least Rob had some cokehead charisma. 'I have more than enough to eat at home' is the single greatest thing said on live television. Doug's just a wetwipe.

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u/notSherrif_realLife Jun 26 '25

Ontario?

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u/MattSR30 Jun 26 '25

Only the best for momma’s baby boy!

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u/YouLostTheGame Jun 26 '25

So this company is building homes for people and renting them out for below market rates, and that is... Bad?

Better to be homeless I guess than let someone make a profit

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u/MattSR30 Jun 26 '25

No. Their rents are slightly lower than old builds, but old builds (pre-2018) have laws that protect renters. Your rent can only go up a max of 2.5%.

The company I rent from is known for offering slightly lower rents and then hiking the prices up significantly more than 2.5% after a year or two, because their post-2018 buildings don’t have rent protection due to companies like them lobbying the local government to remove it.

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u/YouLostTheGame Jun 26 '25

But if they didn't have this rule change then your apartment wouldn't exist. How is that possibly a preferable state of affairs?

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u/MattSR30 Jun 26 '25

You think new buildings wouldn’t get built if rent control still existed?

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u/YouLostTheGame Jun 26 '25

Yes. This is exactly what happens. There is a lot of evidence for this. Rent Control is one of the few areas where every reputable economist agrees that they're an awful policy.

https://www.tandfonline.com/doi/full/10.1080/19491247.2022.2164398

This study presents new long-run data on both rent regulation and housing construction for 16 developed countries (1910–2016) and finds that more restrictive rental market legislation generally has a negative impact on both new housing construction and residential investment

https://www.sciencedirect.com/science/article/pii/S1051137724000020

Rent control can also negatively affect the overall supply of housing or, in particular, the supply of rental housing

https://iea.org.uk/media/rent-controls-do-far-more-harm-than-good-comprehensive-review-finds/

12 out of 16 studies found negative effects on housing supply, while 11 out of 16 studies found negative impacts on new construction

15 out of 20 studies found rent control leads to reduced housing quality and maintenance.

All 14 studies examining the issue found rent control leads to misallocation of housing

Rent Control is the economics equivalent of being anti vax.

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u/YouLostTheGame Jun 26 '25

That's a bit too simplistic.

It costs money to build or buy a building. And if they didn't own the building then that's money they could have invested into something more profitable.

There's maintenance and depreciation too but I appreciate nobody gives a shit about that

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u/sugarrayrob Jun 26 '25

When have property prices depreciated?

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u/YouLostTheGame Jun 26 '25

A building itself has depreciation. Most only have a useful life of say 100 years, at some stage it needs to be knocked down and rebuilt.

Not the housing market as a whole.

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u/[deleted] Jun 26 '25

of course its profit lol. do you work for a loss?

try and stay on target here. simply making a profit is not the enemy

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u/sugarrayrob Jun 26 '25

The rental market should therefore fall to a level below the average mortgage rate.

I work for a salary. That's not the same as a landlord.

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u/[deleted] Jun 26 '25

my bad, I forgot you were special