When you look at appreciation, you want steady growth - not crazy spikes or valleys.

Housing Starts, Permits Plunge In February As Rental Units Crash by Tyler Durden Fri, 03/16/2018 - 08:41 Amid two months of dismal housing sales data, and after spiking in January, starts and permits just plunged in February, driven by a collapse in multi-family unit data.The 7.0% plunge in housing starts (-2.7% exp) is tied with the biggest drop since March 2017 and the 5.7% tumble in permits (-4.1% exp) is the biggest since February 2017...Year-over-year, the picture is just as bad...

There are always up and down spikes in every market with respect to market trends.

Historically we've seen that interest rates will normalize after a spike like this.

This interest rate spike will spread throughout the whole country bringing demand down and prices down with it.

@Eli Jean-Gilles absorption rate is still way below the level needed to drive the vacancy down, and net influx of well heeled MA folks/downsizers is filling those more expensive units.

It's like driving a railroad spike with a tack hammer.

http://www.cnbc.com/2017/02/15/mortgage-delinquencies-among-some-homeowners-just-spiked-spelling-trouble.htmlThoughts?

How about borrowing money from him at a typical interest rate that you guys do business at, then have the IR spike by 5% at 8 or 12 months.

People are wired to dig their heels in and fight.