Re:If you sell a house these days, the buyer might be a pens...
by foogazi on Wednesday June 09, 2021 @02:43PM
(#27451508)
> 40 years ago a home in the Bay Area cost about 3x median income. Now it is more than 10x.
Interest rated have fallen 10x
> Buyers in 1981 benefitted enormously from high interest rates.
They didn’t benefit from paying more for a money loan. They benefited from being able to refinance on always lower rates, and the corresponding rise in asset price
Interest rated have fallen 10x
> Buyers in 1981 benefitted enormously from high interest rates.
They didn’t benefit from paying more for a money loan. They benefited from being able to refinance on always lower rates, and the corresponding rise in asset price