[quote=sdrealtor] a low end property in escrow that looks like it is going to sell for about 75X monthly rental income. A cash buyer would get nearly a 20% return on their cash.[/quote]
Actually, that is 16%, but still in the area in which I would imagine investors would be interested.
My profession is poking holes in financial scenarios, so it comes easy to me: How vulnerable will rental prices be to weakening economic conditions, and to increasing supply of rental housing stock purchased by investors such as this client?
I don’t know the answers to these questions, just raising them.
