Quote:
Originally posted by artplumber
but I doubt whether things are headed down. They may be flat for a while, but unless alot of these loans start defaulting that is not going to happen.
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The foreclosure rate is already trending upward.
Many marginally qualified people took out interest only ARMs to buy their dream house two or three years ago. Now that interest rates have gone up significantly, lots of these people are struggling.
I don't forsee massive drops in RE values, but just as higher vacancy rates for rentals keeps rent from rising, having more houses back on the market will stop the silly growth of RE values we've seen lately.