You take all of these factors together and you've got a very healthy housing market, |
You want to make sure homes are affordable; when they start to increase at lofty rates, you start to worry about affordability, ... But certainly, right now, the fundamentals are so good in housing that if we have a drop-off in price gains, it's still going to be at healthy levels. |
You're going to be taking away from Middle America. Everyone, whether you use the mortgage interest deduction or not, the value goes down. You've just reduced the retirement nest egg for everyone. |
[As for California,] appreciation there is still healthy, ... Realtors there say that there is still very little supply of homes for sale. |
[The Realtors' association characterized the sales drop as a healthy cooling of a heated market.] Housing activity has peaked and is coming down a bit, ... and we expect further cooling in the coming months. |
[When the government has a high budget deficit, it needs to borrow money at a greater rate, which it does by issuing bonds.] What you see is the government competing with corporations in the bond market, which means something has to give, ... crowding out effect. |