The average rent for a unit in a large Orange County apartment complex fell to $1,473 a month in the fourth quarter of 2009, the fifth straight quarter to see monthly rents drop.

Apartment tracker RealFacts reports today that numerous empty apartments forced local landlords to cut rent $105 a month on average — 6.7% — vs. the fourth quarter of 2008. And it’s the lowest average rent in 3 1/2 years.

We at Inflation Watch are well aware of rising prices for health insurance, college tuition, food, and many other items. But as long as apartment rents continue to fall, inflation (as measured by the Consumer Price Index) will probably remain quite tame.

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