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Are you denying another family a house they would've otherwise been able to buy? Then yes.
Not necessarily. We were a young family that had to move quite a bit for my job. We made due with apartments, but we preferred renting a house. We were in no position to buy, and we knew we were only in the area short term, so we appreciated house rentals.
Honest people with a second or third home for rent aren't doing any harm.