Palo Alto Investment Property Rents High

I just got a call back from the leasing agent at www.vrent.com about a 2 bedroom apartment near downtown Palo Alto. I had requested the info because a Trulia.com question came up about renting in PA. $2,500 for a "remodeled" 2 bedroom, 1 bath unit walking distance to University Avenue and all the wonders of Stanford Univesity. Wow! Rents are approaching the dot com days. This is especially true in Palo Alto, Mountain View, Los Altos and Cupertino. The rent vs. buy analysis starts to look very buy favorable.