[quote=flyer]Seeing this in many neighborhoods, and was just talking about it with family/friends the other day. Like us, we don’t know anyone who ever plans to sell any of their primary or investment properties, so it does not bode well for future buyers–or renters.[/quote]

The way I look at it, YOY, it’s been about 6.5% return for me for the past 3 years, excluding appreciation. In the worst case scenario, a 19% decline from the purchase price would be around the break even point. That would be 19% below prices that were already cratered when they were purchased. And every additional year of rental income, that break even point goes even lower. Meanwhile, rent keeps rising, albeit at a slower pace. Meanwhile, that CD is still around 1%. And I’m just a small fish. Others with much deeper pockets probably have a much larger risk tolerance, so they probably have even less reasons to sell.