Joel Kotkin:

Housing is an industry, but it is also where people live, raise families, and stake their future. Yet increasingly, all around the world, housing has increasingly become just a commodity to be traded, often by foreigner investors, notably from China, as well as by large well-capitalized financial institutions who plan to cultivate a generation of lifelong renters. In the notorious words of the World Economic Forum, “You will own nothing, and love it.” Well, you may not love it, but the first part is coming true.

This shift has been taking place for decades, as the superrich and large investment companies buy up much of the land. In the United States, the proportion of land owned by the one hundred largest private landowners, reports the New York Times grew by nearly 50 percent between 2007 and 2017. In 2007, this group owned a total of 27 million acres of land, equivalent to the area of Maine and New Hampshire combined; a decade later, the one hundred largest landowners held 40.2 million acres, more than the entire area of New England.

In much of the American West, billionaires like Jeff Bezos, Bill Gates, and Ted Turner have created vast estates that systematically make the local population land-poor. Landownership in Europe, too, is becoming more concentrated in fewer hands. In Great Britain, where land prices have risen dramatically over the past decade, less than 1 percent of the population owns half of all the land. On the continent, farmland is being consolidated into larger holdings, while urban real estate has been falling into the hands of a small number of corporate owners and the mega-wealthy. Amidst instability in commodity and stock markets, this trend of big capital investment in housing may be expected to accelerate.