Quote:
|
Originally Posted by wzl
I'm a real estate broker based in Irvine [blatant spam: hit me up and I'll give ya a good deal ;-)] .... and this is the most frequently asked question.
Disclaimer: I do not have a crystal ball. What I say here is just my opinion based on the research that has been made available to me by reputable sources.
This is information from the California Association of Realtors winter meetings in San Diego. The projection for the remainder of this year and moving into 2006, for California, is a slight drop in total number of sales, but a continued increase in Sales Price.
Interest Rates are projected to finish 2006 at 6.4 %. Thus, no real big moves in interest rates. NO BUBBLE!! Still a great market as we move forward.
|
What rate is that based on? Prime, or 20 year treasury bond, or...?
'Cuz I don't know if you've noticed, but Greenspan and basically every other federal bank head has started a greek chorus about the spectre of inflation. I guess they just now figured out that fuel price increases are going to filter through the supply chain and have real impact on peoples lives. Upshot being, Chmn. "Bubbles" Greenspan's rate increases are gonna come and if the inflationary forces are more extreme than anticipated, they're gonna come in larger than quarter point increases.