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Old 08-10-2016, 09:53 PM
 
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The above is from Trulia - This is an odd dynamic -rents have decreased but prices per sq ft have risen. This has held true the past 6-7 months.

Shouldn't something have to give?
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Old 08-10-2016, 10:25 PM
 
Location: Seattle, WA
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Perhaps competition from the new rental complexes and condo complexes that recently opened in Brickell, downtown, edgewater and are being rented. There have also been lots of renovated rental complexes on the Beach that have opened up. And on the Beach, purchases are mostly going to be investors and luxury units, which are a different clientele than the rentals.

Condo prices in the downtown area have fallen slightly, have to wait and see if that carries over to the Beach in the coming months.
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Old 08-11-2016, 08:31 AM
 
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yes, disconnection between rent and prices happens. the demand comes from two separate segments that might or might not overlap. Renters live in the city while landlords could be investors form anywhere. When prices go down some renters consider buying.

Sometimes there might be an obstacle that prevents people to switch from renting to ownership. During the subprime crisis, prices went sharply down, yet renters found it difficult to buy because restricted access to credit.

this is from a purely economical point of view. It would be interesting to hear the experience from the real estate people in this forum.
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Old 08-11-2016, 01:39 PM
 
Location: America
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You have to be careful when they say home prices are going up. Based on what, the average sale price? If higher end homes are selling then that could skew the numbers. It was also found that those sites double and some times triple count sales. So I wouldn't trust them too much.
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Old 08-11-2016, 09:46 PM
 
Location: Doral
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A lot of the sales currently are new construction condos that were purchased 12 or so months ago, before the rent prices started to fall. A lot of those condos were bought by investors who intended to rent them out. Rents will recover a bit when the amount of new inventory levels off. We're seeing fewer projects being rolled out.
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Old 08-11-2016, 11:32 PM
 
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Quote:
Originally Posted by WestGuest View Post
You have to be careful when they say home prices are going up. Based on what, the average sale price? If higher end homes are selling then that could skew the numbers.

Could be but taking 6 months of sales consecutively - it should even out. Trulia price per sq ft was what I referred to.
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