Quote:
Originally Posted by rustyp
Did you look at the video ? It says we are at the beginning of the end. Mortgage rates are at 5%. Houses in TV are no longer being offered over asking. Author's advice if you are going to sell do it now.
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That is one persons opinion, I have no idea who he is. Not that I totally disagree. But here is the thing you are missing - 2/3 of buyers in TV are CASH buyers - no mortgage. they don't care. Many times they are moving from areas where they got a lot of money for their house. That said, interest rates WILL have an effect as housing price escalation abates in the north and west. However, DEMAND is not going down anytime soon, especially in Florida with 10000 people retiring a day, and more and more remote workers wanting to live in income tax free Florida.
We are all paying for the fact we have underbuilt for over 10 years so demand is way higher than supply, and we are in an inflationary environment that we all know the cause of (elections have consequences).
However, I think interest rates are going WAY higher, like mortgages over 7% a year from now, they will have to be to slow down inflation. So the housing will slow down but there is no bubble.
My prediction? No drop in prices, but only 5% a year price inflation in TV. Kind of more back to normal.