If I had a dollar for every time I told Mrs. Freep that housing prices here in LA were heading down... well, we could use that money for a downpayment. Yes, rates are going up. Yes, the houses we looked at over the past week all sold over asking. Yes, refinancings will stop... but don't forget that 6% or even 7% home loans are, historically, quite cheap. Plus there's probably gonna be a plateau/correction err long. In other words, I doubt mortgages are going straight up to 7%.
If this is a major trend, we'll talk then. But this real estate bubble started with HIGHER rates. Again, the impact on refinancings and that follow through on the economy is something I cannot measure. But my mom would scoff at y'all calling for a death knell of real estate with 6% rates.
Anyway, the market hasn't topped, as we freep's haven't bought yet. THAT will mark the high, and I will alert you all.
the freep |
