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The more you explain your idea, the worse an idea it becomes. The rent progressively lowering means there will be a point where the mortgage is higher than the rent payments. The only way that system makes any sort of sense is if the government owns the house and rents it to you with payments based on a yearly appraised value. That would be a pretty sweet deal that would have high demand, which would require a lottery or que that would go about as well as section 8 vouchers(horrible).
You want a roundabout system where there is no incentive to rent out property, just ban renting property.
Instructions unclear, now have yeast infection.