To answer your questions why apartments are cheaper than small houses. Think about it for a minute. What is the density of people per sq.ft. living in an apartment house versus living in a small house? Everything is housed under one roof in an Apartment House with multiple tenants. There is your answer.
In terms of the market, there are basically four stages of any real-estate market and the key is knowing what stage you are in:
-Buyers Market Stage-1
-Buyers Market Stage-2
-Sellers Market Stage-1
-Sellers Market Stage-2
Maybe you should consider investing elsewhere. Did you know that in Austin, Texas you can purchase a 40-unit Apartment House for $900k - $1M.
My suggestion to you is to live where you want to live and start investing in some rental properties in more affordable areas. They are out there.
So where would you put the Austin market? From what you say, it sounds like it is a buyer’s market. Am I reading your comments correctly?
It is definitely a buyers market…