UT: County housing market strengthening

[desmond]

[quote=Nor-LA-SD-guy][quote=desmond][quote=Nor-LA-SD-guy]

Also I would think the higher rates will have less effect on the lower end housing market than the mid-high end.[/quote]

I will take your word on that since you live in Ranch California.[/quote]

Yes I do, but just for your info I also own in Fallbrook as well.[/quote]

Sorry to hear about that since according to you that will be the market that gets hurt the most from higher rates.

[Nor-LA-SD-guy]

Well the good part about that is my Property taxes will go down (at least temporarily).

Any way if you are holding long term and cash flowing, which way the property value goes because of interest rates does not really affect you (other than getting reduced property tax).

[Nor-LA-SD-guy]

Well the good part about that is my Property taxes will go down (at least temporarily).

Any way if you are holding long term and cash flowing, which way the property value goes because of interest rates does not really affect you (other than getting reduced property tax).

[Nor-LA-SD-guy]

Well the good part about that is my Property taxes will go down (at least temporarily).

Any way if you are holding long term and cash flowing, which way the property value goes because of interest rates does not really affect you (other than getting reduced property tax).

[Nor-LA-SD-guy]

Well the good part about that is my Property taxes will go down (at least temporarily).

Any way if you are holding long term and cash flowing, which way the property value goes because of interest rates does not really affect you (other than getting reduced property tax).

[Nor-LA-SD-guy]

Well the good part about that is my Property taxes will go down (at least temporarily).

Any way if you are holding long term and cash flowing, which way the property value goes because of interest rates does not really affect you (other than getting reduced property tax).

[Rich Toscano]

I don’t think the relationship between rates going up and prices going down is so cut and dried. Look back at the early 80s – mortgage rates went well into the teens and home prices did not drop. Market activity shrieked to a halt, or so I’m told, but prices did not actually go down.

Generally speaking, there has been very little historical correlation between rates and housing expensiveness.

That said, a sufficiently violent rise in rates could certainly take down housing prices (especially given all the other factors in play). But I just don’t think it’s the done deal that a lot of people think (ie, “It’s ok if rates rise because prices will go down”).

Rich

[Rich Toscano]

I don’t think the relationship between rates going up and prices going down is so cut and dried. Look back at the early 80s – mortgage rates went well into the teens and home prices did not drop. Market activity shrieked to a halt, or so I’m told, but prices did not actually go down.

Generally speaking, there has been very little historical correlation between rates and housing expensiveness.

That said, a sufficiently violent rise in rates could certainly take down housing prices (especially given all the other factors in play). But I just don’t think it’s the done deal that a lot of people think (ie, “It’s ok if rates rise because prices will go down”).

Rich

[Rich Toscano]

I don’t think the relationship between rates going up and prices going down is so cut and dried. Look back at the early 80s – mortgage rates went well into the teens and home prices did not drop. Market activity shrieked to a halt, or so I’m told, but prices did not actually go down.

Generally speaking, there has been very little historical correlation between rates and housing expensiveness.

That said, a sufficiently violent rise in rates could certainly take down housing prices (especially given all the other factors in play). But I just don’t think it’s the done deal that a lot of people think (ie, “It’s ok if rates rise because prices will go down”).

Rich

[Rich Toscano]

I don’t think the relationship between rates going up and prices going down is so cut and dried. Look back at the early 80s – mortgage rates went well into the teens and home prices did not drop. Market activity shrieked to a halt, or so I’m told, but prices did not actually go down.

Generally speaking, there has been very little historical correlation between rates and housing expensiveness.

That said, a sufficiently violent rise in rates could certainly take down housing prices (especially given all the other factors in play). But I just don’t think it’s the done deal that a lot of people think (ie, “It’s ok if rates rise because prices will go down”).

Rich

[Rich Toscano]

I don’t think the relationship between rates going up and prices going down is so cut and dried. Look back at the early 80s – mortgage rates went well into the teens and home prices did not drop. Market activity shrieked to a halt, or so I’m told, but prices did not actually go down.

Generally speaking, there has been very little historical correlation between rates and housing expensiveness.

That said, a sufficiently violent rise in rates could certainly take down housing prices (especially given all the other factors in play). But I just don’t think it’s the done deal that a lot of people think (ie, “It’s ok if rates rise because prices will go down”).

Rich

[briansd1]

I believe that Rich is correct about the lack of correlation between interest rates rising and house prices dropping. House prices are sticky.

Buyers drive house prices. I do believe that when interest rates drop, house prices do rise because buyers can afford more on their monthly payments.

When rates are high, housing activity drops because people don’t feel pressure to buy because they can’t afford the houses that they want. Plus can earn a good return in other investments.

There is no guarantee that house prices will drop when rates rise. But house prices will definitely stagnate, activity will drop, houses will languish longer on the market, and there will be more choices.

[briansd1]

I believe that Rich is correct about the lack of correlation between interest rates rising and house prices dropping. House prices are sticky.

Buyers drive house prices. I do believe that when interest rates drop, house prices do rise because buyers can afford more on their monthly payments.

When rates are high, housing activity drops because people don’t feel pressure to buy because they can’t afford the houses that they want. Plus can earn a good return in other investments.

There is no guarantee that house prices will drop when rates rise. But house prices will definitely stagnate, activity will drop, houses will languish longer on the market, and there will be more choices.

[briansd1]

I believe that Rich is correct about the lack of correlation between interest rates rising and house prices dropping. House prices are sticky.

Buyers drive house prices. I do believe that when interest rates drop, house prices do rise because buyers can afford more on their monthly payments.

When rates are high, housing activity drops because people don’t feel pressure to buy because they can’t afford the houses that they want. Plus can earn a good return in other investments.

There is no guarantee that house prices will drop when rates rise. But house prices will definitely stagnate, activity will drop, houses will languish longer on the market, and there will be more choices.

[briansd1]

I believe that Rich is correct about the lack of correlation between interest rates rising and house prices dropping. House prices are sticky.

Buyers drive house prices. I do believe that when interest rates drop, house prices do rise because buyers can afford more on their monthly payments.

When rates are high, housing activity drops because people don’t feel pressure to buy because they can’t afford the houses that they want. Plus can earn a good return in other investments.

There is no guarantee that house prices will drop when rates rise. But house prices will definitely stagnate, activity will drop, houses will languish longer on the market, and there will be more choices.

[Author]

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