LBC,
I agree about the compression around $3K for a rental. I think you are right on. As for one anecdotal story, I hear about rentals flying off the shelf everyday if they are in a desireable area and priced at the market. I guess your area must not share the same demand as by the coast because the rental market is sizzling hot here.
Overpriced rentals on the market by speculators that got in too late are just as overpriced as the same type of folks selling homes. With that said, a day doesnt pass that I dont hear a colleague say how hot the rental market is. Over 20 calls in one day is astounding!
BTW, I just checked the MLS. There isnt ONE single family home for rent in South Carlsbad under $2500 and four between 2500 and 3000.
