Yep same thing over and over...hype up GDP months in advance then get the actual number that shows that GDP missed again.....rinse and repeat. Revised fourth-quarter US GDP up 2.5%, matching expectations U.S. economic growth slowed slightly more than initially thought in the fourth quarter. The strongest pace of consumer spending in three years drew in imports and depleted inventories. Gross domestic product expanded at a 2.5 percent annual rate in the final three months of 2017, instead of the previously reported 2.6 percent pace.
Of course....who wants to buy a house with a 4.5+ % 30 year fixed? Now don't get me wrong that's very very very cheap by historical figures but so many buyers got use to a 30 year fixed under 4% that anything higher than that is Ludacris....it should be fun to watch this unfold.....now that rates are rising it looks like home sellers might have to tweak their selling price ever so much to make up for that 1/2% jump in the 30 year. Actually now that I think of it the whole real estate industry needs an adjustment especially with rents and housing prices all way too expensive. I think prices are at least 25% over valued.... Pending home sales drop 4.7 percent in January The housing recovery appears to be making a U-turn as mortgage rates rise amid a critically low supply of homes for sale. Pending home sales, which measure signed contracts, not closings, fell 4.7 percent in January compared to December, according to the National Association of Realtors. The weakness was nationwide, and December's reading was also revised lower.
This is one of the worst theories you've ever had on here and some of yours are whoppers. Real estate is a local market and your claims that prices are over valued is based on nothing at all. Not that it ever stopped you from making absurd claims, like the idea that interest rates should be a certain value now because they were a certain value 20-30 years ago. Canadian mortgage rates got up near 20% at one point. There is no "normal" rate, whether it's 2.89% ( our last rate ) or 18%. Markets reflect all factors including supply and demand. You seem to think the world should listen to your declarations. Not how markets work. Maybe, just maybe, your long term instincts are really bad. You told one poster in late spring 2009 to liquidate all their US holdings; that the market was going to crash the 2008/2009 low. That was the worst possible advice; that market was the best risk/return equation to go long in our lifetime. Why could you not see it ? You should be questioning your assumptions not repeating them over and over again for 9 years. You are not alone of course. There are posters on here who declared Toronto real estate a bubble in 2010. 2010-2017 was a tremendous time period to own Toronto real estate. Just goes to show that many traders have horrible long term ideas about markets. Might be the short term horizon they trade on, especially day traders. Everyone makes mistakes but it's to prolong your mistakes and not learn from them that is a problematic.