The fact that CPI uses OER doesn’t necessarily mean oer is a good measure. During the housing bubble prices may have increased at a 17% rate while OER increased at a 4.5% rate.
I’d argue asking the question “what rate would you rent your home at” is fundamentally flawed and prone to underestimation. The answer is and always will be “the market rate for a rental in my neighborhood”. This number is generally greater than the interest+maintenance a fresh buyer would pay.
I’d argue asking the question “what rate would you rent your home at” is fundamentally flawed and prone to underestimation. The answer is and always will be “the market rate for a rental in my neighborhood”. This number is generally greater than the interest+maintenance a fresh buyer would pay.
https://blog.principal.com/2017/07/06/owner-equivalent-rent-...