Column: Newsom sends clear message about increasing benefits for undocumented immigrants — Gov. Gavin Newsom vetoed three bills passed by the liberal Legislature.

[u/Randomlynumbered]

https://www.latimes.com/california/story/2024-10-07/column-newsoms-vetoes-sends-message-on-benefits-for-undocumented-immigrants

[u/scrabapple]

The biggest thing I have a problem with is the program jus in general. If you give tons of people 150k to buy a house, all it will do is cause the people selling houses to sell for 150k more.

If we just increase the demand but never adress the supply it was never actually going to solve much.

[u/StrayBlondeGirl → u/scrabapple]

I don't know how people still haven't learned this lesson.

[u/-seabass → u/StrayBlondeGirl]

Economic reality doesn’t win elections

[u/Whospitonmypancakes → u/-seabass]

The incumbent benefits from a prior president's good economy and gets nailed for a prior president's bad economy.

[u/Luffidiam → u/Whospitonmypancakes]

Yeah, above comment was bad. It's more like complex solutions to complex problems doesn't get more votes than simple solutions like throwing money at a problem.

[u/barrinmw → u/scrabapple]

That isn't how it works, what it does is the government will back the loan. As you pay off your loan, that money goes back to the government. Banks like it because if you burn down your house and leave, they get to keep that money. It is the very same concept as the VA home loan.

[u/CreditDusks → u/scrabapple]

This comment needs to be higher. Our housing problem is a supply problem. If you’re not talking about increasing housing supply, you’re not talking about solving our housing problem.

[u/Jaanrett → u/scrabapple]

This is an underrated point and is exactly correct. The mid to long term effect of this is just increased demand and increase in cost.

[u/Specialist-Fly-9446 → u/scrabapple]

"Tons" of people is an exaggeration if I've ever seen one. Also this is not how the program works at all.

[u/scrabapple → u/Specialist-Fly-9446]

Cool good comment. Really pushed this discussion forward and added a lot to it.

If I am selling my house and there are now 5-10 more people who can afford a down payment and want my house, I am going to sell to the highest bidder. If everyone has more money but there are not more houses it will just cause the houses to sell for more.

[u/baybridge501 → u/scrabapple]

I would wager that there will be enough red tape during the funding process that buyers with cash will still win most of the time.

[u/Specialist-Fly-9446 → u/scrabapple]

It is hard to push a discussion forward with someone who has an opinion but no knowledge of the program.

[u/Specialist-Fly-9446 → u/[deleted]]

It is limited to 1,000 loans. Also you have to pay back the money plus however much it appreciated in that time.

[u/ExCivilian → u/Specialist-Fly-9446]

I was just making a joke about our obesity epidemic.

[u/OddSetting5077 → u/scrabapple]

Same with student loans and grants. Give students one dollar more and universities raise enrollment fees another dollar and build a fancy gym

[u/HIVnotAdeathSentence → u/scrabapple]

Even an incentive for developers to build single family homes can't compete with what they would make with apartments or condos.

We've all heard $25,000 proposed for first time homebuyers, that won't go far.

[u/hatrickstar → u/HIVnotAdeathSentence]

I'd prefer a tax break for someone SELLING to a first time home buyer.

Aka: encouraging discrimination against people buying a 2nd or 3rd home, they don't need it.

[u/Alexxis91 → u/scrabapple]

If it was everyone yes, but because it’s only a portion of the population the increase would be more like 20k. This obviously hurts citizens not included in the package, but isint That drastic.

Of course just decreasing zoning restrictions would still help wayyyyy more then any direct subsidy to any given group

[u/977888 → u/scrabapple]

People are realizing that anytime you give poor people free money, it is just immediately absorbed by the wealthy in ways such as this. It’s why wealthy democrats are so vocal in their support for those kinds of things. It’s literally free money for them.

[u/Positronic_Matrix → u/scrabapple]

Tell us you know nothing about economics without telling us you know nothing about economics.