Georgian2019
2022-02-11 13:58:20
- #1
As long as there is a corresponding excess demand, prices will not go down despite rising interest rates. Out of 100 interested parties, 50 drop out from the start due to lack of equity and because the interest rate installment is too high. The remaining 50 with corresponding equity or top income still fight over the few plots/houses.Yes, interest rates and purchase price are closely connected because people can only afford to pay as much annuity as their salary allows at most. That is the limit. If interest rates become too expensive, the purchase price must go down.