However I am still somewhat bothered by the fact that at “some point” prior to the 50% drop, there will be a positive cash flow potential for investors due to higher rental costs.
SD Realtor,
I’ve thought about this as well. However, isn’t it a possiblity that housing prices could drop enough to overshoot current rental rates and actually drive rental prices down? This would keep investors at bay making it harder to make a positive cash flow.