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Housing Slowdown Or Crash With Ali Wolf

Lead-Lag Live

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The Price to Income Ratio Is Above Where We Were Last Year

Michael Gaid: Is there some threshold on mortgage rates or maybe mortgage rates relative to income or whatever metric that would maybe make you feel that this becomes more of a broad base systemic risk? He says the price to income ratio has been above where we were in the mid 2000s for the past year. And then, he adds, people aren't buying off an interest rate either. The amount of wealth that was accumulated over the past couple of years complicates that math a little bit.

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