tag:blogger.com,1999:blog-13164186.post112498051774756555..comments2024-01-27T19:26:32.604-05:00Comments on Bubble Meter: NYTimes: Rents UpDavidhttp://www.blogger.com/profile/11169148764438565562noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-13164186.post-1125163693911432412005-08-27T13:28:00.000-04:002005-08-27T13:28:00.000-04:00Couldn't this news be seen as a positive for housi...Couldn't this news be seen as a positive for housing prices? There are many sources of evidence that housing in certain markets is overpriced - one of the main pieces of evidence is that rents are too low relative to home prices. The theory is that rent represents the "earnings" of a property, and some muliple of that earnings is a good measure of the true worth of the home. If home prices are too high according to this metric, they can be brought into balance in one of two ways: (1) home prices decrease, or (2) rents increase. If rents increase, then that would seem to indicate that home prices would need to fall less to bring the situation back in line. What am I missing?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-13164186.post-1125007445888003342005-08-25T18:04:00.000-04:002005-08-25T18:04:00.000-04:00watlas,thanks for the kind words. :-) How did u...watlas,<BR/><BR/>thanks for the kind words. :-) How did u find out about this site?<BR/><BR/>DavidDavidhttps://www.blogger.com/profile/11169148764438565562noreply@blogger.comtag:blogger.com,1999:blog-13164186.post-1125006620223814632005-08-25T17:50:00.000-04:002005-08-25T17:50:00.000-04:00Great site here, David. Been reading a while. Firs...Great site here, David. Been reading a while. First post. Hi all.Anonymousnoreply@blogger.com