re: Powell: Fed can maintain higher rates for "as long as needed"

quote:

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But higher rates are how you in theory get housing back to a more affordable level. The rates lower demand which then lowers prices

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But a house is by far most people's largest investment. So you're teetering between having a chunk of the population not be able to afford a house vs the other chunk being in an upside-down asset. And when houses do become more affordable you're gonna have investors snatching them up as rentals again.