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Sure it did. People were buying a payment. With 2-3% rates a lot of buyers didn't care what the price was...only what the payment was. Just like when these same people buy cars.
Yep, low rates and extended terms are how many afford those monsters parked in their driveways.
If that's the case, market values would have declined with the onset of higher mortgage rates.
Never seen so many dang appraisal Gap clauses.
Dumber than dirt, the interest rates fueled the price increase. Everybody acknowledges that.
It's coming...... those folks who bought with the appraisal Gap clause and paid $125k over list are rooting for Trump to succeed on brow beating Powell and making him lower the rate...
They are declining ( prices are declining and have declined since the hot high point in late 2022). They have not crashed yet, but they have gone down, the only reason the decline was not steeper was becfuase of low inventory with owners not selling to keep their 3% mortgage.
I still see them. Just finished on with $25K clause on a $457K purchase price at a list price of $425K.
I'm surprised you're still seeing them. Lots of inventory on the market now. Sellers are holding, buyers want concessions. It's a standoff.
I used to see them 2022-into late 2023, I have not seen any in a year. Seeing more concessions and prices reduced to a (relatively) reasonable level - considering .