Home › Forums › Closed Forums › Properties or Areas › Bubble bust and changing landscape › FormerSanDiegan wrote: So,
[quote=FormerSanDiegan] So, the unit in question ‘cash flows’ at about 260 x rent with 20% down. Does that make sense to you?
Why use a rule of thumb (price as a multiple of rent) when the numbers are all laid out already. [/quote]
The numbers laid out are not inclusive. We would need to consider additional inputs if we want to come up with some actionable analysis.
That is why I pulled a “rule of thumb”, as a product of a reality-tested analysis.