Does rent go down in areas?

Question

I was wondering as homes go down in value does rental prices drop as well?

Answer 1

I have never seen rent go down. Usually, if home prices go up, so does everything else.

Answer 2

Rents go down but it usually takes a lot longer for the rental prices to go down than it does for the sales prices to go down. Normally you see landlords running specials like a free month with a year's lease, or adding services like free Internet access, before they start lowering rents.

Answer 3

Yes it could, but you don't want it to. Rent going down means property depreciation in the surrounding area, meaning the nieghborhood has gotten less desirable, or there's some sort of exodus, and they are trying to keep people in the neighborhood.

In most depreciation situations, the rent simply won't go up, as rents in other neighborhoods do.

Answer 4

Rent goes down only if landlords have trouble finding renters.

in theory, if home values go down then more apartment renters will turn into home owners, leaving fewer renters. This trend lowers the price of rent in apartments. But to counteract this, some homeowners turn into renters if rents become extremely cheap.

Answer 5

Only time I have ever seen rents go down is if the local economy takes a major hit...ie. a military base closes or some major employers move operations to mexico or asia.

Answer 6

I have never seen rent go down. ever.

Answer 7

It possibly can...but for some reaons in some cities I don't think it would likely happen...as much as I want it to...