DESTINISM
does that mean the rent should be $1200-1500 ?? Bobby, I'll take 2 !!!
Or the price $250k-$350k...
If you look into it a bit deeper, rents reflect todays costs and what people can afford today...
Home prices can be put off or even put into a neg amortization loan... so the price may not really reflect what the demographics can currently afford... which I would argue is definately the case in todays market...
You see a ton of homes bought on short term interest for what was hoped to speculative huge short term gains... That is no longer occuring so one must scratch their head and say....
Why would I pay $4000+/month to the bank to buy (actually just renting from the bank) this home... when I can rent it from the landlord for half the cost.... especially when the value of this home is not going up and may just be going down over the next couple/few/half dozen/dozen years....
Obvioiusly this is all just the humble opinion of a local observer who is enthraled with the amazing run and what seems to be eminant collapse of the RE market....