[quote=sdrealtor]I was referring to inflation everywhere but I remember you documenting years ago home prices don’t always follow rates. Have you changed your mind on that? Inflation also means wage inflation. We have and will continue seeing that. Rates look to be low for a long time to come. Maybe not this low but still very low historically.[/quote]
You are right, they haven’t had much relationship with rates in the past, but valuations are so high at this point that I think it’s unsustainable in the absence of low rates. I’ve written about this frequently in the monthly(ish) updates. See late-2018 for a preview of what might happen if rates were to rise… and homes were a lot cheaper then.
