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by solumunus 976 days ago
Low interest rates have been terrible for buyers.. Low interest rates are a huge part of why there is such a massive bubble in the first place.
1 comments

The drove up prices, making the down payment side harder. Higher interest rates should bring down the sales price, making down payments go further, but we're only halfway seeing that. My thinking is because the shortage masks that, but people married to their underwater 3% fixed-rate mortgages also does (for now). Ironically, this seems to be driving homebuilders to build more.