Our partners theory is that it all depends what segment of the apt market you are in and your strategy.  

When you cross the $2000 level you are into a segment of the market where many renters have the monthly cash flow to purchase.  

Some people in that segment have still not done much updating since they bought 18 years + ago.

This again, will lower the demand for luxury units.Follow your supply curve: a glut at the top lowers prices allowing the not-quite-uber wealthy to move up a segment and everyone below follows suit.

That's the beauty of the industry, there's so many sub-segments to it.

@David Dachtera  I'm just trying to get a better understanding, it's all just so confusing.Back before and shortly after the crash, we saw a whole segment of the market pop up around short sale flipping.

Im a multi family investor in philadelphia i know that segment of the market well since i have specialozed in it.

We operate in a "niche"...We are a HUD authorized real estate brokerage that works almost exclusively with investors (both wholesalers and rehabbers) helping them acquire undervalued properties.Lately we have had a lot of interest from new investors that are excited about the market segment and can't wait to dive in, but have a potential entry level problem...

The market segment is far more than the simple results of "what do I buy" and you nailed it IMO.To your list I might add, "Pick a tenant type" and buy & market for them. 

, a segment of our meetings that is quickly becoming a huge hit!