In hot housing markets there is nowhere near enough supply to meet demand.
The price per square foot is reflective of what the market will pay, first and foremost. The large cost premium in hot cities suggest that the unmet supply of apartment is much larger in percentage terms than the unmet supply of single family housing. In my area rents are already recovered from their COVID slump and still rising.
The price per square foot is reflective of what the market will pay, first and foremost. The large cost premium in hot cities suggest that the unmet supply of apartment is much larger in percentage terms than the unmet supply of single family housing. In my area rents are already recovered from their COVID slump and still rising.