Tax cuts impact housing market differently by income bracket

tax cuts, income bracket, housing market, interest rates, mortgage
Transcript
Well, it's really going to depend on what income bracket you're in because, of course, there are different tax cuts for different income brackets. I think when it comes to the housing market, this is very interesting because we go back to that deficit point. What happens, I mentioned to the bond market, when you have the lower possibility of interest rates, when you have a deficit that's running up, investors feel that they need more of a return to buy government debt, to invest in in essentially the U.S. economy. And what that does is it drives up interest rates on your 30-year fixed because your mortgage tracks the 10-year treasury. And I've been watching this closely. It hasn't performed the way that you would want it to if you are looking to buy a home. Now, of course, there's so many other dynamics at play. And frankly, it's hard to make a five-year prediction because no one in March of 2020 would have predicted where things went. But based on what we know, it's really going to depend on your income