3 ms·
> In many markets there is a gross lack of housing overall. It makes sense that owners paying attention will raise BOTH house prices and rents. There is not eno
by soulbadguy 3y ago
> In many markets there is a gross lack of housing overall. It makes sense that owners paying attention will raise BOTH house prices and rents. There is not enough for sale AND there is not enough for rent. A larger investor can be BOTH more patient when selling and renting AND more realistic when adjustments need to be made.
I am not sure i understand the point you are making here. If there is not enough houses to sale, and not enough to rent. Then inefficiently converting one to the other doesn't sound like a win. Also, i think this is really market based. I am not sure that the mainly complaint for suburbs was the lack of rental unit. Most likely it was from the lack of buying opportunity.
- creer 3y agoI was responding to this: > If i am reading this correctly, they raised the price of houses more than they reduce the price of rent. In a market with some abundance, some external factor like a change in tax law might result in the balance changing so much that some prices go down. For example many owner-occupied home to be acquired by investors and rented out. The extra availability of rentals might push the rents down. But in many US markets, there aren't so many properties changing hands. So rents will still go up. The slight change in balance will not push rents down. There are currently some prices AND rents somewhat down in the SF Bay Area: Next to the street RV camping and worst street action.