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A comment on How I Think About Debt. Parent comment

Re:How I Think About Debt by leetcrew on Monday May 06, 2024 @07:57PM (#40280835)
not necessarily. rent and market value are related, obviously, but they don't have to increase at the same rate. in some markets, property values can increase much faster than rent.

https://www.investopedia.com/terms/p/price-to-rent-ratio.asp

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Re:How I Think About Debt by throwaway2037 on Monday May 06, 2024 @08:48PM (#40281126)
Yeah, I agree. Rent is essentially capped by median income. If mortgage rates are cheap enough, housing prices will skyrocket, but median rent will barely budge.
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