I think the real canary in the coal mine is the housing market. These high interest rates are a death knell for new housing starts. There is a long process that takes place before a new house is built and ready to go on the market. So as a developer, when you see these high rates, and people can’t afford them, there will be a pull back in new housing starts, which stops the long term momentum of new housing. It takes a while, for developers to build back confidence to restart development. Add to that the fat that homeowners who want to buy new homes are not willing to buy with a high interest rate and give up their current low interest rate.
How many folks from China and India are still willing to pay to have a house here in the US?
Amen brother!