Capital Growth & Rent Growth Correlations
Is there a strong correlation if any, between the rate of capital growth and the rate of rental yield growth for an area ?
i.e if capital growth is at 10% does this mean that rent will command a 10% greater value for that area ?
I know there may be a lag effect between CG and rent growth but to what degree would the correlation between growth rates be ?
Thanks.
007
Is there a strong correlation if any, between the rate of capital growth and the rate of rental yield growth for an area ?
i.e if capital growth is at 10% does this mean that rent will command a 10% greater value for that area ?
I know there may be a lag effect between CG and rent growth but to what degree would the correlation between growth rates be ?
Thanks.
007