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Good. Prices need to drop to account for the higher interest rates. This is an expected correction.
by antisthenes 2y ago
Good. Prices need to drop to account for the higher interest rates.
This is an expected correction.
- toomuchtodo 2y agoCitation: https://fred.stlouisfed.org/series/MSPUS https://fred.stlouisfed.org/series/MSPUS (review max, then switch to 10yr)
- wise_young_man 2y agoIs there a way to add in another data point with this for new home construction cost to look for correlations?
- toomuchtodo 2y agohttps://www.youtube.com/watch?v=HSoPXEISUyY https://www.youtube.com/watch?v=HSoPXEISUyY
- vimbulbos 2y ago[flagged]
- wise_young_man 2y agoI sometimes agree with this theory, however in practice the past few years have shown us that interest rate increases have little effect after all. People were predicting that interest rates would crash the housing market and nothing significant happened. All of the input costs to new construction go up over time (labor, materials, licenses, services) and new home pricing has an anchoring effect on the existing home market.