One thing to add is that rates have gotten so low that I can borrow 2x as much as 5 years ago for the same payment so it makes sense that prices are going nuts. I just checked I can do 2.75% @ 30 years with no points that’s insane
So here's a data point for you. When I wrote this post I was talking about this house. It didn't sell in 2016 at $1.8m. It's up at $1.5 now and Redfin's algorithm thinks the list-to-ask at those prices right now is under 1. Check it. The Redfin link in a 4-year-old post is live again. They even recycled most of the photos 'cuz no way the lawn looks like that right now.
Lol I love that home it’s so uniquely hatable and poorly designed that it fails to even be a good McMansion. Seriously the person that buys that piece of crap deserves to overpay, call it a poor judgment and bad taste tax. Idk what it is about upper middle class Americans and poor use of space it’s almost a sense of institutional wastefulness.