Comments by "k98killer" (@k98killer) on "BE CAREFUL! Here's Why The Housing Market is Close to Tipping Point" video.

  1. A note on US tax treatment: given a fixed monthly payment, if the interest rate is higher, you'll end up paying less in taxes. This is because interest expenses can be deducted from taxable income, and the lower sale price means your real estate tax will be lower. The way the homestead exemption works is that the assessed property value changes more slowly than market conditions, so if you buy a house at a peak, you'll be saddled with a high tax bill until you sell (at a loss) and buy a new house at the lower price. So in general, you're better off with a lower house value and higher interest rate all else being equal.
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