ty for the reply, good explanation. However, your case illustrates my point. You will stay a renter until the GPM deflates by at least 33%. As long as ALL PRs vow to hold out at least that long, the day may never come, or at least take several years…Something’s got to give.
If PRs don’t buy while the market is slowly going down, then it could take years to go down another 20%. In the meantime, what will happen to rents?
I suppose that part of the GPM calculation is based on rents, so if rents inflate a lot over the next few years, then your estimated purchase price will go up the same.
