Rental markets and real estate costs are only loosely coupled.
A tidal wave of cheap money does drive up costs. Most home purchasers have a fixed budget to spend on a home, whether that money pays down interest or pays down principal.
Low interest = higher housing prices, because borrowers will borrow more money at the lower rate.
This is equally true for apartment construction -- if firms can borrow money cheaply, they borrow more of it, and bid more for land.
A tidal wave of cheap money does drive up costs. Most home purchasers have a fixed budget to spend on a home, whether that money pays down interest or pays down principal.
Low interest = higher housing prices, because borrowers will borrow more money at the lower rate.
This is equally true for apartment construction -- if firms can borrow money cheaply, they borrow more of it, and bid more for land.