Gary, thanks for another very thoughtful post. People will complain that it’s long. But I found it full of good insights, and not one of the rambling posts that give long posts a bad name.
I look forward to your future contributions, and hope you find a better place to live!
By the way, I am not 100% certain about the method of calculating prices based solely on current rent and other cash flows. I think that just sets a floor for a lot of investors. I think there are some other people who greatly value ownership of their personal residence, and others (like myself) who are anxious to immunize themselves againt long-term future rent increases. If you come up with any thoughts on how these other purchasers influence prices here in So Cal, I’d value them.
