The rent for 2-bedroom apartments in detroit has fallen from an average of $796 in september 2014 to $717 in march 2015. demand for 2-bedroom apartments in detroit was falling during this period as well. this is hard to explain because the law of demand says that lower prices should lead to higher demand.

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Business

Jeffrey Moyer

17 June, 13:16

The rent for 2-bedroom apartments in detroit has fallen from an average of $796 in september 2014 to $717 in march 2015. demand for 2-bedroom apartments in detroit was falling during this period as well. this is hard to explain because the law of demand says that lower prices should lead to higher demand.

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Jackson Harrell · Answer 1

The supply and demand for any rooms varies from city to city. In the case for Detroit, a major breakdown in government and stability affected a large amount of real estate and business industry. With job loss there was no longer a need for people to rent apartments, which fueled the price cut as well as the demand for a 2-bedroom apartment.