[Izzy Dunne]

Coastal markets also tend to be more sensitive to rising rates because the homes cost so much. In Los Angeles, where the median home price is $315,000, the monthly payment on a 30-year mortgage jumps by $423 if rates rise to 8 percent from 6 percent. In St. Louis, where the typical home goes for $117,000, that rise in rates would boost the monthly mortgage payment by just $157.

315000 / 117000 = 2.6923

423 / 157 = 2.6943

Somebody 'splain to me how a home costing three times as much and having a payment increase of three times as much means that "Coastal markets also tend to be more sensitive to rising rates because the homes cost so much."

[Geritol]

Hmmm... I always thought it would be because of the holes in the walls and the rundown state of all the appliances....

[stainlessbanner]

The author has successfully demonstrated that she can derive monthly payments, i-rates, and NPV given variables.

[Starwind]

Earlier news...

and another link to the same article run in the Naples, Fl Daily

Why your home might sell for less