Monday, October 26, 2020

Udo Theodor Hemmelgarn, October 8, 2020, Housing and Property Rights

German Bundestag, Plenarprotokoll 19/183, pp. 23074-23075.

Right honorable Frau President. Right honorable colleagues. Right honorable spectators in the galleries and at the screens.

A few days ago, leftist activists here in Berlin demonstrated under the motto “We Have a Place” in favor of the admission of all refugees from Moria. The Linke presented a corresponding motion dated September 10, 2020, for the admission of refugees. With the date of September 16 – all of six days later – the Linke presented the motion over which we today debate and they therein complain of rent increases and evictions in the cities. So then we indeed do not have many places, dear Linke.

            Matthias W. Birkwald (Linke): That was just a not especially good computation.

Instead of being concerned with the real problems of the housing market, like domestic migration, rural flight, migration within the EU, the unlimited increase of economic migrants,

            Ulli Nissen (SPD): That must now again happen!

too little housing construction in the urban centers and the ECB’s interest policy, the Linke naturally make unrealistic proposals which – as desired – shall unleash grudge debates.

The local governments’ right of first refusal [Vorkaufsrecht] shall be exercised to limit prices.

            Ulli Nissen (SPD): It is still a super idea!

In other words, the right of first refusal shall be exercised at below market prices, understandably at the cost of the seller. And the conversion of rental to owner occupied housing shall, according to the opinion of the local government, be forbidden.

            Ulli Nissen (SPD): Right!

In clear text: From some will ownership be taken away, and others will be prevented from acquiring ownership – that is precisely the world view of the Linke.

Instead of thinking over how housing can be generated, the Linke wish to thereby palliate the scarcity of the housing which they more or less openly expropriate. The mask of the righteous falls, leaving the evil to be feared.

Thirty years after the end of the DDR, socialism in the motions of the Linke joyfully celebrates a resurrection.

            Gesine Lötzsch (Linke): What rubbish!

That the Linke do not really trust the laws of the market, they in the past have ever again impressively demonstrated. One example of that: In the year 2004, the red-red Berlin Senate sold more than 64,000 dwellings to private investors – readily named by you as “locusts”. The purchase price amounted to 405 million euros with the assumption of 1.56 billion euros in debts by the purchasers. Thus, an average price per dwelling of around 30,000 euros was paid. Of that, I can only say: A dream price for profit-oriented investors!

Today in Berlin, housing is sought to be purchased at the highest price. If the dwellings are cheap, they are sold; and if they are expensive, they are bought back – all with tax money and without a single, new dwelling having been created. That is a Dummheit scarcely to be surpassed.

Dear Linke, we have a few serious and well-meant suggestions for you.

Finally stop with the thoughts of plunder. To take something away from others solves no problems. If the thing is scarce, then more of it must be produced. If it is simply taken from others, it still remains as scarce as ever.

            Caren Lay (Linke): Then who here takes what from whom?

Second. Finally attempt to understand the principal of the market economy. If nothing else, look it up in Marx, but stop always wanting to only solve problems selectively.

Third. Put aside your pride. Thou are not to be the better and braver of men.

            Gesine Lötzsch (Linke): I did not know that we are on familiar terms.

Your prescription did not work thirty years ago and it does not work today.

            Caren Lay (Linke): Für Sie immer noch “Sie”.

Where leftist policy in the past has led, we in 1989 have seen. Where leftist policy today leads, we were able early one morning to see with astonishment when in Berlin an occupied house at Liebigstraße 34 was evacuated. Thousands of police from many Federal states were required to evacuate with word and writ 40 inhabitants and again obtain respect for the state of law.

            Caren Lay (Linke): Then let us leave it to the best!

Ladies and gentlemen, that is also ultimately a symbol of how many resources it costs our country to correct the failures of a few, which would have been avoided with a bit of expense and understanding.

Many thanks.

            Ulli Nissen (SPD): Many thanks your speech is over!

 

[trans: tem]