My accepted short sale offer in CA is at a price that allows an ~8% cap at current rents. If rents fall 15%, I’ll still be slightly positive cash flow, and if prices fall 25%, I’ll just see it as one bad mofo of a buying opportunity.
As far as my offers in NJ, the market is near bottom with a bit of a spring bounce here. If I’m buying at close to bottom from the LAST recession, what makes you think that prices will fall any further?
