The Psychology of Second Home Purchases

When you have this kind of frenzy going on, people are starting to step back. The surge of the second home purchases at the mortgage applications for the second homes has risen to 14% of all purchase mortgages from the 5% or 6% range in normal times and more than double. You just sit on it and make a bunch of money on your highly leveraged bet. And so I think it's psychological. It looks very much like the peak of the market to me.