The Rich are PISSED | The Mamdani Lie.

Rich people are absolutely freaking out

about this guy winning the mayoral

primary in New York to the point where

the New York Post is calling him scam

Donnie uh and Adams is calling him a

snake oil salesman. And when you

actually open this up, the rich people

potentially are actually really freaking

the f out, which is really ironic

because I'll tell you why they shouldn't

be. And it's the craziest irony in

politics. And remember, my goal here is

to piss everyone off. Uh, first of all,

when it comes to people with money,

within minutes of Ma'am Donnie winning,

real estate agents were receiving calls

of people saying, "We're going to take a

break from looking for real estate. We

want to pull back our offer. We want to

cancel the deal because we're going to

wait for the uncertainty to settle."

See, look. It's literally in there.

Buyers fleeing New York fear estate. Get

it? See what they did there? Instead of

real estate, buyers are fleeing. New

York fear estate. Wow, that's punny.

So anyway, apparently there's this talk

about this reckoning happening amongst

rich people and AOC is running victory

laps, uh, which I don't really want to

pull it up, but if you look at her

Instagram, you could see a whole lot of

boobies. I mean, a whole lot of her um

promoting this guy uh and almost like

coming across as like, see, because I

promoted him, that's why we won. And

people are seeing it as sort of her shoe

in for trying to step up to presidency

at some point in the future. Then uh

you've got the New York Times uh

somewhat appropriate given that you know

this is New York related apparently says

that business leaders are now freaking

out and they're trying like billionaires

like a hedge fund manager. They're

trying to throw millions of dollars at

Mayor Adams who's now running as in an

independent. The problem with him though

uh is right here. After Adams was

indicted on federal bribery and fraud

charges,

he basically he cozied up to Trump and

Trump got, you know, the prosecution of

him dropped, which is lucky for him. But

apparently the CEO of uh the aviation

company Blade, some real estate agents,

real estate developers, hedge fund

managers, and others are freaking out

and uh had to get together to surprise

uh Mayor Adams with a birthday cake to

try to figure out how they could end up

getting Adams to stop Mami. Now, this is

really interesting because it really

goes to show you about this fight

against Mammdonni uh and how people are

freaking out about their plan. Uh Andrew

Epstein,

unclear of any relation to Jeffrey

Epstein, is a spokesperson for Mammdani

and says that businessmen at the meeting

are simply quote well scared quote of

our plan to tax them a little bit more

to fund an agenda to lower the cost of

living and improve the quality of life

for all New Yorkers. The problem with

all of this is socialism usually holds

the gun to capitalism on very shaky

foundations.

Special situations love this badass

says, "Why is socialism popular? So

popular with the youth. With the youth.

That's what you say when you're older,

by the way. Because they want everything

for free without any familial or

societal commitment. This is why you see

so many young women embracing it

especially. Yes, inflation has gotten

out of control in coastal cities. Well,

actually, prices have gone up across the

entire United States during and after

the pandemic. And price increases have

only just recently slowed, but things

are still ridiculously more expensive

than they were uh you know, precoid. And

this has really been a ubiquitous

problem across the entire country. Uh

but anyway, then he goes on to say, but

there are still many cheap places to

live in the US. These are really this is

really conflating two different things

here. Remember inflation was an issue of

money printing and massive supply

shortages. And I want you to keep that

in mind for a moment. When you think

supply shortages, I want you to think

prices go up. Then there's of course the

second argument that there are still

many cheap places to live in in the

United States. It is true that when you

are in a position of uh how should you

put it? um getting squeezed on rental

income. It does make sense to say, "Hey,

okay, well, maybe there's a less

expensive place to move to." That's easy

to say though as a capitalist because

it's really important to remember that

there are a lot of people who are born

in New York. Their friends are there,

their families are there, the church is

there, their work is there, everything's

there. And commuting sucks. Like we all

know commuting leads to worse happiness.

But there is also the risk that

socialist policies of basically

providing more government stuff in an

ineffective manner for free just ends up

working to destroy capitalism. But once

capitalism falls which is generally

credited with the rise of global uh per

capita income. So income per person ends

up just leading to the suicide of

socialism itself as socialism falls into

government controlled communism which

technically should be no government but

there always is. uh and and then you're

in just basically a complete disaster of

a collapsed economy, a collapsed

monetary system, and you basically

restart as some other country takes

over. That's all like hyper

oversimplifying the conflict between

socialism, capitalism. Put it different

way, capitalism argues the more we can

build without government, the better and

cheaper we could do things. Uh and if

you can't afford to live here, then

move. Socialism argues, well, hey, the

rich should pay more and uh, you know,

we should support those who lived here

or maybe were born here who just can't

afford to live here anymore because the

cost of living has gone up. The question

is why has the cost of living gone up

though? And the Wall Street Journal has

an interesting piece on this. This is

actually under the Wall Street Journal

pro central banking page and it says New

Yorkers vote to make their housing

shortage worse. Now, this is really

interesting because what they end up

doing in the article is they compare

prices and rents in Austin to New York

and they compare the two markets. They

basically say Texas prohibits rent

control. Now, only about 1% of New York

has rent control, but about 50% of New

York units are rent stabilized, which

really this is like potato because, you

know, rent stabilization is still here's

the max you can raise rent. Here's a

limit on evictions. Here's a limit on

the remodeling that you could do. And

then of course, you layer on top of

pretty on top of these relatively

arduous building codes that prevent

vertical development of buildings,

meaning there's a limited amount of

supply of housing you can actually build

in New York because you aren't really

able to expand that housing. So, what do

you get here? Well, you get the Wall

Street Journal saying that in Austin,

Texas, they had a really big problem as

well. They had a main housing shortage.

And Austin, Texas took a very different

approach to New York. Austin, Texas went

with the idea of let's build more homes.

Austin's approach was typical in

southern and southwestern, primarily red

and purple states with fewer

restrictions on construction and rents.

And New York is an extreme example of

coastal and midwestern blue state metros

with less land and more restrictive

building and land rent rules. So, in

other words, uh, New York, more

restrictive building policies, more

restrictive rent rules. Austin, let's

build more. Now, this is where I'm going

to put my experience into this. As

someone who's been a real estate agent

and broker for 13, 15 years, property

manager for 15 years. I run a real

estate startup at house hack uh.com. You

could actually invest in it. It's open

to nonacredited investors, everyday

investors. But what's interesting is we

actually purposefully go out of our way

to invest in places like California

where you have what I like to call

idiotic housing policies because the

irony is states like California limit

your property taxes. Thanks Prop 13. Uh

and not only are your property taxes

limited, but they build so little new

construction in California that the

value of existing land keeps going up

and up and up. That's because people

want to live in California and we have a

lot of jobs here. And the stupid housing

policies that we have in California that

restrict more building just lead prices

to keep rising. And that's why in 2022

when we were looking to deploy capital

for our real estate startup, we actually

purposfully chose California to invest

like 95% of our money in. And prices

went up in 23 24 and so far have gone up

in 2025 in Q1. You know, the latest

quarter of data that we have. So when

you look at this, it's like, oh, okay.

So the California housing problem is

actually exacerbated by California's

policies on housing. Whereas if you look

at what happened in Austin, Texas, which

is an area where I vocally on this

channel documented, I don't want to

invest in Texas because they are

building like crazy and they're going to

have an over supply of homes. Well,

guess what happened? Look at this.

Housing literally peaked in the second

quarter of 2022. I witnessed the

overbuilding. And so as an investor,

it's not good for prices to plummet,

right? Prices came down substantially.

And so what happened in Austin? Rents

plummeted, home prices plummeted. What

happened in New York where you had

tighter housing policies? Houses g

became more expensive and rents became

more expensive. So this is where people

freak out and they're like, "Oh, Kevin,

you just don't like and and people make

this assumption, but they get it wrong.

Like I don't like anyone, okay? My goal

is to piss everyone off. But people just

make this assumption. They're like,

"Well, Kevin, if you're a landlord, then

you're anti poor people getting help."

No, I'm actually just anti bad economic

policies, but I'll tell you the policies

are bad, but if they're going to

implement stupid economic policies, I'm

still going to go figure out how to make

money with it. So, let me show you the

irony of it. Okay. The more restrictive

housing laws are,

the more desirable it is to invest there

because prices keep going up.

Economically,

rent control and rent stabilization

limit supply and increase prices for

properties over time.

uh they briefly help people who are

locked into the units they're in. That's

what rent you you you can't just get

without giving, right? There's always a

give and take in economics. And so

generally what economists have have

found in and there are many studies on

this is that yes, rent control can

briefly help the people who are living

there, which is why they're popular with

voters, these rent stabilization

policies, which again about 50% of New

York is rent stabilization, about 1%

rent control. But again, potato, it

doesn't really matter. The point is they

briefly help people who are locked in

there, but they do but they what they do

is they constrict artificially supply.

And so when you compare Austin real

estate prices to New York real estate

prices, it's no surprise that where

you're building more, oh my gosh, what a

surprise. The pi prices came down. So

where does it actually become more

desirable to invest? It becomes more

desirable to invest where prices keep

going up. Mind you, also a landlord who

rents a rent stabilized unit should

always max out their rent increase in a

rentstabilized property because you

don't want a tenant to get locked in too

low and fall behind the market. So,

landlords are actually perversely

incentivized to raise your rent the

maximum amount possible according to the

housing laws, which is like the opposite

of what you think. Uh, now of course

there are some like greedy slime

landlords who are always going to try to

weigh abuse the system anyway. You know,

we try to create a reputation of

actually being a good and reasonable

landlord. But I'll put it this way. If

let's say we had a $3,500 unit, uh, you

know, we might raise the rent uh oh, I

don't know, 50 bucks. Okay, that's 1.4%.

Which is very, very low. But if it's a

rent stabilized property, I'm going to

raise the rent the full $2.75%

or you know, whatever they allow me to

do right now. And that's going to work

out to closer to $100. Works out to

about $96 because I don't want to fall

behind on the rent stabilization curve

in case there's a bout of higher

inflation. So, and I'm also incentivized

to get my tenant to leave and to turn

them over to a new tenant because I

don't want a tenant locked in for very

long on rent stabilization. And so

again, you're incentivized to raise the

rents more on a rent control tenant

property. Now again, most people have

too small of a brain or or benefit of

the doubt, too little real estate

experience to understand this is how the

real estate game is played. But again,

you know, somebody in the chat here is

like, "Austin real estate prices are

tanking." Bingo. You're making my point.

We literally have that on screen here.

Like I said, when we analyzed Austin

real estate in 2022, I'm like, "This

place is getting overs supplied with new

homes. Prices are going to collapse in

home prices and rents." And that's

exactly what happened. Why are home

prices going up in New York? Because

you're not building vertically. If you

were building vertically more in

Brooklyn by going into a four-story

apartment building and turning it into a

12-story apartment building rather than

just leaving the shell of it, the 1920s

stupid shell that it has, and putting in

luxury apartments within those four

units, because that's the only way the

builders can make a profit. That's how

you're screwing people in California.

So, I'm I'm telling you using my

experience in real estate, what I know

about the New York real estate market,

because I guarantee I've done more real

estate due diligence on 99% of people

watching this video in New York. I

guarantee I've done more real estate due

diligence in Austin than 99% of people

watching this video, and the same in

California. I find that the data that

we're getting and the facts and the

economically presented data show that

housing policies that institute more

rent stabilization, rent freezes, and

constrained construction end up costing

people more money and making housing

more unaffordable. Which actually brings

me to the point of maybe if this Mandami

gets involved in New York, it would

actually be really smart to buy real

estate in New York because we know real

estate prices are only going to go in

one direction and that's up. It's going

to become more unaffordable to own real

estate in New York, which is good for

people who already hold the real estate.

Crazy. But again, economically, that is

the irony of investing. Now, I say it

here and a bunch of people still won't

believe me. But that's fine. If this M

dummy guy gets in, no problem. Socialism

versus capitalism. We already know how

the playbook is played. And we'll just,

you know what? We'll create a special

fund just for investing in New York. for

the people with the big brains who want

to make more money and take advantage of

the fact that this guy is actually going

to make housing more unaffordable. We

can go invest in it and uh make money

from it. Steven410 says, "That makes a

lot of sense to me, Kevin. My parents

got their home in 1994 and prices keep

going up. $190,000 to 1.3 million. Sucks

for us younger generations who can't

afford houses in New York." Exactly.

Bingo. Somebody Mike and I says, "What

have rents done in LA?" Yeah, I don't

invest in LA because LA is just a

disaster. But prices keep going up in

LA. Uh that's that's been pretty clear.

And one of the things to remember too is

LA is one of those perfect microcosms of

California where what you found is

because we have fires that burn down

homes and slow building, you're actually

literally burning your housing supply

and constraining new construction. So

it's like the more fires you have,

ironically, the more valuable the rest

of the real estate becomes. rents

skyrocketed after the fires in January.

But that's why I say like it's hard to

say exactly what they've done because

they've been so volatile after January.

Again, it's the irony of that, right?

Somebody says, "Do you invest in

Arizona?" No, we didn't invest in

Arizona the same reason we didn't invest

in Austin, but to a lesser extent, we

saw an over supply of rental properties

uh and and easy building. Right.

So,

[Music]

let's see here. Exactly. We are living

in New York City. The rule currently is

that rent control only applies to

apartment buildings. That's five uh five

and up apartments. That's why mom

invests only in four family houses,

right? But that's the problem. That's

exactly the problem. Look at Brooklyn.

It's all four units basically. All the

luxury stuff. It's duplexes, triplexes,

forplexes because all the constriction

happens if you want to build vertically.

So why? Like think about this logically

for a moment. You literally just said

that well I mean this is why

everything's only four units. Bingo. Why

do we not build vertically in Brooklyn

where we could build build these four

unit raise the fourunit buildings and

put a 16-unit building or a 32 unit

building? Why? Oh because then it

triggers the rent controls. So you're

incentivized to keep the stupid 4-unit

building instead of building the 32unit

building. That's exactly the problem.

You are misincentivizing a capitalistic

market and you're creating more problems

than you're solving. Uh dark something

here. Vernon Vernon says, "Realtor here

in New York City." 100% correct. Oh,

well, thanks for saying that. Uh so,

let's see here. What happens to housing

when all these old people die off?

Honestly, it'll probably be a renter

nation because it's getting so hard for

people to get into real estate. It's

like if you're in real estate, great. I

actually think if you have real estate

debt, you have a really good hedge

against the dollar. So, it's a very

unique uh diversification. It's one of

the reasons why with House Hack, when

we, you know, when rates fall, we're

going to crack the egg on bank financing

for the company because we have no bank

debt. Uh and, you know, we'll probably

have like a quarter of a billion dollar

portfolio just like that. It's crazy.

So, Jackie here says, "My parents just

bought a $1.2 $2 million house in

Brooklyn as a rental. And guess what?

That'll probably keep going up in value.

It was probably a good deal. You should

send it to me uh on IG or X or

something. I'd love to look at it. But

congratulations to your parents.

Honestly, if they're if they're worried

about this guy, show them this video

because

he's about to make that $1.2 million

property worth like 2 mil.

The irony is the real estate landlord

should be cheering this guy cuz he's

doing the opposite of what he's

promising for people. But then again,

that should be obvious. A politician

doing the opposite of what they've

promised. Why not advertise these things

that you told us here? I feel like

nobody else knows about this. We'll

we'll try a little advertising and see

how it goes. Congratulations, man. You

have done so much. People love you.

People look up to you. Kevin Pra there,

financial analyst and YouTuber. Meet

Kevin. Always great to get your take.