As with everything else the changes will be scene at the margin, wherever demand is lowest. Rents in certain buildings may be going up, in others down, based on demand of people wanting to live there. Rents can go up in the best areas, even if they are falling overall.
Also most LL’s I know have a preset Excell sheet on how much rents should go up and when. This economic downturn is in no way reflected in this sheet. They will advertise their preset rent, get applicants for that rent (everybody has to live somewhere), and rent the place and then wonder why they got such problem tenants and so many headaches. Students, the un/under-employed, people with bad credit and/or no rental history pay more than better tenants for good reason. Generally speaking, they are worse tennants. I always laugh when the LL’s I know complain about their tenants, and yet 3 minutes on craigslist shows me they are viaing for the top of the market with middle market inventory. Gee, I wonder why that is causing problems.
