Here's something that might help you in your decision-it's from the chief economist of the National Association of Realtors.

Most economists are not predicting hockey stick spikes in interest rates.  

Suppose the banks raised interest rates by two points:Present Value =  630,000Payment = $ 3,900Future Value = 0Annual Rate =  6 %Periods = 360Ceteris paribus as the economists say, holding all other things equal,  a million dollar property will lose $ 170,000 in value.  

The reason, as noted by several economists, is the NAR's legal cartel with one of the largest Political Action Committees in the US.

I mean, beyond some economics (but I grew up with an economist).  

Davey, Two blogs I enjoy reading are REwired (http://www.housingwire.com/blogs/1-rewired) and the national association of realtors economists outlook (http://economistsoutlook.blogs.realtor.org/).  

By the way securitization works, only 5% of CMO mortgages defaulted for a loss, the reason the CMO market crashed was because of the fear in the market that CMOs would fail, effectively making the demand zero which any economist will tell you makes the value zero.

“Housing markets are poised for their best year in a decade,” Freddie Mac Chief Economist Sean Becketti said.

I am no economist (in fact hated that class in school) but if you look at the amount of Federal debt, the fact that Social Security and Medicare are running out of money, that to keep the economy propped up the Fed just prints more money, I have to agree with these more fringe prognosticators that we are in for a correction in the near future.  

The activities of the GSE's as they de-risk their portfolios by selling NPL'sThe session was kicked off by Frank Northaft, Chief Economist at CoreLogic who presented a comprehensive overview of the US housing market.