[mrhands556]

I bought my first two houses over the last 10 years and each time I thought we were at the peak, and I was way wrong. First mortgage had over 5% mortgage rate and 2nd was the same.

Outside of closing costs mortgage rates are temporary (can always refi). Land is a finite resource. It should continue to go up.

[sizzle]

You really think the people who got a <3.5% interest rate loan will let go of their properties in the next 5 years to purchase a 5%+ mortgage for a more expensive monthly payment? What incentive do they have?

[ryanianian]

"Starter homes" (1-2 bedrooms) see lots of turnover as families outgrow them.

[ryandrake]

I just let go of my 2.25% mortgage to move out to the boonies at 7%. It's painful but still makes sense given the cost of living difference between here and the insane Bay Area. I am admittedly gambling that rates will come back down to something at least in the middle within a few years, but who knows?