WEBVTT

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You and Michael mckee with us in Washington as well

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to the two of you. I've got one question

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, Mike. Let me start with you. Our

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audience on radio and television is looking at a mortgage

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rate of 8%. It's either outright shock or,

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or how do we adjust to that as citizens?

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How do we adjust to that within our daily life

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from where you sit, Mike is the fed aware

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that a 30 year mortgage is 8%. Oh,

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of course they are. And I've talked to many

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of them about that and they do recognize it is

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a bit of a problem in conundrum because they've raised

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rates and sort of killed the housing market, uh

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, because they're in a different situation than we have

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been. Uh, the, since I can remember

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where, uh, their rate increases are so much

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higher than what people were able to take out mortgages

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at that. Nobody wants to sell their houses.

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The, the, the thought seems to be that

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if they start coming back down, they will get

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to a level maybe in the threes, uh,

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where mortgage rates will come down to four or 5%

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. And people might start buying again because that won't

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seem too bad. But it's gonna take a while

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. Obviously, Claudia bring us over to academics as

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well. You write in the next paper at Jackson

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Hole here on the American housing market. Are we

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at a point? Lisa and I have talked about

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this. Are we at a point where for elites

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like you, the housing market doesn't matter, not

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just for me right. There were a lot of

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people that refinanced or purchased housing when we had a

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very low interest rate. I mean, the housing

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market has been very disrupted both in a really good

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place and now in a really bad place, this

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has been a tough cycle and those who timed it

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properly. And there were millions of Americans who refinance

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their homes, they're in a good place right now

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. And like you said, it does make it

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treat, they don't want to sell, they don't

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want to let go of that, Lisa. We're

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completely colored by this in New York City, which

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is a completely wacko original housing market. To me

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, this is the arch we have to live in

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our houses. I believe that, you know,

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like every month it's a mortgage payment or a rent

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payment. And these numbers to me have a greater

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effect than anything else. We talk about 8% mortgage

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filters into everybody's pocketbook. It affects their mobility and

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their willingness to move, especially given the fact that

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it's going to be unaffordable for the vast majority of

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people to do so.