[quote=asianautica]Can you be sure it’ll happen in 2 years? What happen if won’t get to that price for another 5 years? How much would you be paying in rent vs buying? I’m in the camp of government over stepping and cause major inflation. Also, long term average rates are around 8%. So, it’s not out of the range of possibility either. What if it goes to 8+% instead by the time price actually get down to 420k? Right now, you can get down as low as 4.375% w/ some points.[/quote]
Hey, I’m just using your numbers. No doubt one can screw with the knobs until they get the answer they want. I was just responding to your suggestion that rates going to 7% would more than negate the savings in home price–clearly not the case.
But heck, I’m not trying to pick on you, I’m really responding to my mother-in-law, who said to me the other day, “sdcellar, I’ve been meaning to talk to you about this. You know, you were right about house prices, but you’ve got to buy this year. The interest rates are just too good.”
As with all things, one must look at the complete picture (or as best you can with all things in the future).
