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Real Estate
Reply to "Why don’t people understand that low rates work against them?"
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[quote=Anonymous]Higher rates are certain to affect demand for any house that bought with a mortgage. (And that is putting aside the other market factors that often come with higher rates, specifically lower stock prices, which can affect demand.) Whether that creates lower prices depends on the overall supply/demand situation, but higher rates is certainly not good for home values. If rates go high enough, then you will start to be concerned about flippers unloading inventory, people with ARMs resetting and balloon payments, and other things that could affect the supply and cause a cascade that brings down prices overall. I think we are a long way from that though. [/quote]
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