Your reasoning is the tail wagging the dog. Money flooding into an area is obviously going to cause rents to increase as well as incentivize developers to buil

Your reasoning is the tail wagging the dog. Money flooding into an area is obviously going to cause rents to increase as well as incentivize developers to build more to capture some of that moolah as there's more demand for housing. Money flooding out of the area is going to cause both rents to immediately decrease, as well as decrease the incentive to build more housing, because the demand is gone.