Interest rates are still very cheap.If interest rates are...

Interest rates are still very cheap.

If interest rates are hurting people, its because they over borrowed.

Every one knows interest rates go up and down and can get as high as the teens, yet when people borrow they always borrow as much as they can and ignore the reality that interest rates will probably move up in the 20 odd years they have their loan.

I am not buying a house, and held off last 3 years because i know interest rates will go up, and in all posibility to the mid teens,

this will pop the over valued hosing market and bring peoples borrowing power down to realistic levels, as such will force house prices back to earth so people can actually buy a home to live in instead of being forced to rent.

It sounds nasty, but it has to happen, housing has increased in cost by 150% - 200%+ in under 8 years, however wages and material costs and population growth has not risen to the level to warrent these prices.

if housing runs in 7 year cycle, then after 10 years of boom its got to be accepted now that housing will fall again at some point. Making it posible for average income earners to buy in, and kicking the whoe cycle off again.

If I owned investment property, I would be selling it now before the price falls.