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People would just rent instead of buying house. Rent should not go down that much. So buyers with cash will just buy houses and rent it out.
by tonmoy 4y ago
People would just rent instead of buying house. Rent should not go down that much. So buyers with cash will just buy houses and rent it out.
- rossdavidh 4y agoI do see evidence of people renting, because they intend to buy next year when the prices are lower. So I do think rent will be a lagging indicator, and will keep going up for a while. That will keep the inflationary pressure on the Fed to raise rates higher and for longer.
- deathanatos 4y agoRents aren't going to go down. Raising mortgage rates makes housing more expensive, by raising the cost of the mortgage. That's going to force some would-be buyers to not be buyers, and to instead, rent. More demand on rent => prices go up.