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Reply to "Bubble pop in rentals too?"
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[quote=Anonymous]I am not an observer of the rental market, OP, but I take your word for it. Thanks to the pp for raising the situation in CA. I think someone posted a stat the other day that almost half of real estate deals are all cash transactions. At least some of those are investors who will be landlords. If they aren't going to be making money or worse, losing money, they will find an alternative investment. These all cash buyers exiting the market will put downward pressure on prices. This should encourage others to get into the market, but will they be able to get it with the tightening of lending requirements? Someone has been writing about this dilemma in the Real Estate Section in the WP and recommends lowering the credit score standards. Otherwise, we may see a pricing correcting in the real estate market. [/quote]
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