Home › Forums › Housing › “INVESTORS” who haven’t learned their lessons? › FormerSanDiegan
[quote=FormerSanDiegan][quote=scaredycat]seems unlikely a 130k house would rent for 1500 for long. [/quote]
So, why is that ?
Should the price be higher because the rent supports it ?
OR
Should the rent go down to align more closely with the price of the property ? [/quote]
Because someone paying 1500/month can go put their own place for 135K then.
1500/Month will support up to a 220K house (Yes, i’m handwaving on interest rates and insurance).
So most people getting that kind of rent will seek to buy houses for 130K-220K in price.
if you assume Rent/Own for a 130K house, that’s closer to a 1000/month rent.
