How do failed sub prime mortgages and increases of the supply of homes decrease the price of apartment rents?
Sunday, May 25th, 2008Some Guy asked:
I was reading an article in the business section of the L.A. Times today discussing the result of sub primes mortgages after the housing boom. It mentioned that resulting home foreclosures would “slow the rise in rents”. I’m wondering, in an economic sense, how this is possible.
Question posted courtesy of: Jose
I was reading an article in the business section of the L.A. Times today discussing the result of sub primes mortgages after the housing boom. It mentioned that resulting home foreclosures would “slow the rise in rents”. I’m wondering, in an economic sense, how this is possible.
Question posted courtesy of: Jose
