[quote=Andrew32]
That’s obviously true from a theory standpoint but who would wait around for 2012-2015 to come around again when prices (and rates were relatively low) for either an investment or Owner/occupy property. It likely won’t for a long time.[/quote]
There probably aren’t a lot of people who wait, but the bottom line is still the same: a buyer can only qualify for a payment so big. If interest rates are high that will mean the monthly amount that goes towards paying off the house will be smaller…meaning they will have to buy a lower priced house than if the interest rate were lower.
