4 ms·
It's cyclic. When employees are highly paid, rents will go up. Other people will also want in on the high salaries, so competition goes up to acquire the best e
by apta 8y ago
It's cyclic. When employees are highly paid, rents will go up. Other people will also want in on the high salaries, so competition goes up to acquire the best employees, salaries go up, rents go up, rinse and repeat.
- stephenr 8y agoLandlords don't know what their tenants earn. They know when there is a lot of demand for available living space. Higher demand means they can ask for more rent, with a greater chance someone will agree to what they ask for.