In a Washington Post article today, about predictions of the market for 2019, I read an interesting post, and wonder what AR members think:
"I do remember being told it was a great time to buy because interest rates are low. In the back of my mind, I thought: the great time to buy is when interest rates are high. The purchase price goes down, and you can re-finance that low principal mortgage when rates go down.
When you buy a property at low interest rates and relatively high principal, you cannot re-finance. In fact, if interest rates go up, you are then stuck in your current property, and probably are underwater or near underwater.
When housing prices start dropping, the market tends to fall quickly and deeply. Who wants to buy a house to be underwater for ten years? Even this slight uptick in rates caused anxiety."