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Strategies & Market Trends : The Residential Real Estate Crash Index
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To: Tradelite who wrote (1322)1/11/2002 2:08:21 AM
From: LLCFRead Replies (1) of 306849
 
<What areas exist where homes are expensive but rents are not also proportionately expensive? Not familiar with any and don't see how that can occur.>

Here's a scenario... your looking for housing in the Bay area.... do you pay a million for a home, or pay 5k a month in rent??? Well, after you back of the napkin figure out the return on a million dollar house being worth 1/2 million in 2 years.... you pay the 5k a month, which turns into 3k in the second year and you've hit a relative home run.

DAK
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