Comments on: Affordability is more than price — Watch those rates.

By: San Diego Home Finder

San Diego Home Finder — Sun, 03 Jan 2010 01:43:27 +0000

The other interesting part of this will be to see what effect inflation will have on home prices if you believe that inflation is on the way. Inflation normally means higher home prices but it also means higher interest rates. Higher Interest rates normally means lower prices. It will be interesting to see what in what direction it all goes.

By: Brenna

Brenna — Wed, 30 Dec 2009 23:15:12 +0000

I am from the east coast. This blog is nice to learn about your part of CA. Good work.

By: Kris Berg

Kris Berg — Wed, 30 Dec 2009 17:42:58 +0000

Levi – You got me there. Great point. If, on the other hand, you are planning on hanging your hat for awhile (which is the growing trend), I am more concerned with the bottom line payment.

By: Levi

Levi — Wed, 30 Dec 2009 17:20:49 +0000

I have been following this site for a while and think it — and Kris — are great. To add one thought to the price/interest rate tradeoff: paying more for a house means less profit when you sell the house down the line. Buying at a lower price, even if it involves paying a higher monthly payment, might make sense if you plan on selling any time within the next several years.