4 ms·

Great news - affordable housing is around the corner! This will also deep-six people speculating on real estate or buying homes to AirBnB them (won't be profit

• kypro 4y ago
  If house prices drop because of interest rates affordability remains constant. They only become "more affordable" if you have money to buy without a mortgage. So if you're saying they're more affordable to the rich, sure. But I assume you mean the average home buyer.
  • juve1996 4y ago
    > If house prices drop because of interest rates affordability remains constant. This isn't a law of nature. It's highly possible housing value decrease outpaces rising rates.
  • caeril 4y ago
    > So if you're saying they're more affordable to the rich, sure. No, cash buyers are in an even worse position right now. A traditional 60/40 portfolio is down substantially more right now than the average home price. Cash buyers don't sit on actual cash, they sell something in their portfolio prior to closing.