Discover more from The Real Signal - Real Estate + Macro - By Scott Choppin
The Real Signal Midweek - 50-Year Record Gap Between Housing Prices and Rental Rates
50-Year Record Gap Between Housing Prices and Rental Rates
Scott Choppin Note: Watch for reversion to the mean, note similar but smaller gap in these numbers peaking in 2006, and compare that gap to the 2023 gap. Either rental rates go way up, or housing prices go way down, or a combination of both. Although, the 2006 peak was all housing prices down, rents slightly flat. Given present inflation, my speculation is rents flatten but don’t go down.