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Mortgage demand drops to a 28-year low as interest rates soar to 7.31%

11 pointsby donsupremeover 1 year ago

1 comment

chiefalchemistover 1 year ago
Maybe it&#x27;s me, but this feels counterintuitive. As mortgage rates go up, demand falls, and then prices fall. That is, at any given moment, the total cost of the mortgage remains same-ish.<p>But. Most importantly, eventually, you&#x27;ll be able to refinance at a lower rate. That is, you&#x27;re getting a home priced for, say, 7%+ market, and paying for it at, say, a 5% rate; which also likely means your home will increase in value because demand has returned.
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