People evaluate large purchases - in part - on whether they can afford the monthly payment. Low interest rates and comparably high rents make people more willin

People evaluate large purchases - in part - on whether they can afford the monthly payment. Low interest rates and comparably high rents make people more willing to pay more for property. Higher interest rates, which may be on the horizon, may put a damper on housing prices. However, I suspect that they'll have less of an immediate impact in the states, where fifteen and thirty year fixed rate mortgages are the norm. If inflation continues in Europe, it will be interesting to see what happens in countries where people generally borrow for ten to fifteen years at a time, and refinance once the mortgage term is over.