Quote:
Originally Posted by Wookie
But then maybe people will just pull their listings? I can't imagine there are that many overextended people that are going to sell at basement prices either.
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That's what's been happening, is people just pulling their listings and the market is flooded with rental units. Especially condos, all those people that bought condos on spec to flip had to take possession or lose their deposit, and then they turned around and rented them for whatever they could.
I've spoken with a lot of people that did that.
In the condo I own downtown I'm still at 60% of the rent I was getting 3 years ago, just because there's so many out there available, or to put it another way I'm now renting the place fully furnished for the same price I was renting it unfurnished.
I'm lucky because this is a condo I purchased new and lived in many years ago, so the lower rents don't hurt me at all, but still.
But yeah, lots of people aren't going to eat the loss so they'll just take it off the market and just live with it or rent it.. if we see rates go up a lot though and prices go down, that might motivate more people to sell at basement prices.