You'd expect a mere plateauing of home prices - they don't have to go backwards - would make investors stop and think about the investment itself and the debt.
They'll start to think about the capital city investments and whether borrowing at 7% to hopefully make a 3% net return on(after all expenses) makesany sense without the prospects of capital gains and at the current elevated house prices.
Interest rates you can't do much about ... so you'd think that house prices would have to suddenly come back down to earth.
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- a bit of reflection from the us experience
a bit of reflection from the us experience, page-8
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