2% rule in Ultimate beginner guide

[Ying Gong]

I am in San Diego area.  I don't see how the 2% rule can apply to california.  The housing here is very expensive.  Even at lower value property area.  Say the average house there is about $500k, and the rent average is only around $2000-$2500.  That is less than 0.5%, not 2%.  If renting rate is at 2%, it will be ridiculously high and never be able to rented out.  I am wondering how the 2%, 50%, 70% rules can apply to California property.  Or maybe they all need to be adjusted for different geo areas.  

[Chris Mason]

A lot of these "rules" are from people that started in the 1990s or 1980s, and don't really apply today. 

Let's think back to 1986: HECK YES you need to follow the "2% rule" or something very much like it, because your freaking mortgage is at 14% on a 30 year fixed!