"... The problem with real estate has been that its value depends upon lending. This was what the government did as part of the New Deal by creating 30-year mortgages back during 1930s. This was a scheme to get prices up by extending the period people could pay off the loan. Typically, the duration was 5 years previously. Because of the 30-year mortgage, prices have risen to reflect the accumulative amount of earnings available. If there was no lending, prices would collapse to 10 cents on the dollar until cash buyers become interested..."
Yes ... which brings us to the 2015 surge after the 2008 bust .. mainly cash verses mortgage .. right?
So .. Martin predicts:
"... The collapse in Quantitative Easing will have the effect of causing rates to rise on the long-term..."
Projected .. he sees this:
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