I believe that rising interest rates may not be the problem.The problem may more stem from employment levels starting to fall. This inturn will create more forced sellers in turn leading to a buyers market. In this scenario the prices will probably only fall marginally 10% or so. But in certain locations( usually the bad ones) the falls may be greater. In the better locations the falls may be smaller.I'm currently waiting patiently for some correction. Fortunately for me my company pays my rent for at least the next 3 years. I could aford to easily gear up with very large loan and buy now but in these times I believe some caution is warranted so my gearing is fairly low. Lets see time will tell but these are my thoughts.
