The realtor company advertising a property for rent for $32,500 has defended the price tag.

And JW Bermuda Realty also pointed out that the client, not the realtor, sets prices for property, explained.

?While the company does give comparative market analysis which the client may or may not use as the basis of the asking price, ultimately, the price is set by the owner,? agency manager Susan Thompson said in a statement.

She also explained that lower priced properties are listed but are constantly in demand and rarely advertised.

The five bedroom, five bathroom home is situated on a peninsula at Riddle?s Bay Golf Course is in a market that few can afford.

Arthur Jones, agency director for the company, explained that an economic shift from tourism to international business has contributed to the recent rise in rental prices.

He said: ?Over the years, Bermuda has had an economy that has struggled with over-employment and has done so for some time.

?This means in order to fill the job requirements locally, we need to look overseas for guest workers. As our economic shift has changed from one based primarily on tourism to one based mainly on international business, so too has the housing requirements.?

Guest workers employed in the tourism trade were housed in ?dormitory-type housing?. Some hotels had this form of housing on their property, he said.

But the employees coming from overseas to work for international businesses require a different form of housing.

?Unfortunately, the current supply of housing cannot be increased instantaneously,? he said. He said that locals investing in real estate have contributed to properties being owned by the same individuals, with some families owning three or four properties.

?In today?s market with the lending institutions relaxing their mortgage requirements with two of the three major banks offering 95 percent financing combined with record low interest rates, real estate is an attractive alternative to demand deposit, mutual funds or other investment vehicles.?

Mr. Jones said supply and demand had become an issue because it will take some time to increase the ?inventory of available housing?. He added that the housing situation is totally market driven.

?Therefore, it would be reasonable to expect that the current demand will remain high with a gradual decrease as more units become available leading to price stability.?