[quote DWCAP]location location, and a billion other factors pay into it, so it isnt an exact math formula. So you are correct. If the economy was adding jobs and humming along, sales would rise and prop prices too even if interest rates were increasing.
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That’s exactly what I was thinking – particularly in those areas (in which I am looking, too). If the economy starts to recover, such areas (good schools, etc) that are pretty well sought after, may not be worth the wait for lower price that may or may not come with *slightly* higher rates.

IF the economy starts recovering, which is still a pretty big IF.

IMHO, rates are not going to increase by a LOT FAST in the next couple years so the pressure on the prices in those areas will be rather small. In LONG term, it will get there, but is it worth renting for more than another year or so?

Edit: I don’t believe a tsunami is coming anymore…sorry… the government has lots of means to keep the ‘landing’ slow coming, relatively orderly at all costs…