Mortgage approval is the key to real estate prices
Real estate values for one to four unit residences are a function of the ability to get a loan, which in turn is a function primarily of mortgage underwriting. (Low and declining rates help somewhat to facilitate the ability to buy a property but do not help enough).
Many investment experts are quoted in the news as saying that the ratio of house prices to income is the lowest since either 1975 or even 1965. However this assumes that personal income is:
- Evenly distributed between all consumers (your pay is, on