[quote=flu]Well, I’m sure if prices were adjusted 5%-10% in MM, we’d see a lot more inventory right now….And then people would get use to it, and then if rates dropped another 0.5%, you would have another buying frenzy… I predict that people are kinda still sticker shock with 1/1 going for $150, 2/2 going for $220, and some MM SFH that went for $350 going for $400. Rates fall again, people won’t care (again).[/quote]I’m not so sure. We’ll have to wait and see. The way I see MM, you either have people who bought in the 70s-90s who have no intention of selling or those who bought near peak who are under water and most likely already SS or foreclosed. So, I’m not sure if you see a lot more inventory if price goes up 5-10%. Price did go up around 13% in 2012 and inventory declined drastically. So, I don’t know if another 5-10% would change anything.
