Summary: Printing money during the pandemic has unsurprisingly caught up with us. What does this mean for interest rates, real estate, and our everyday finances? Debbie Bloyd comes on the show to talk about some of the most pressing consequences of inflation—the shift in the psychology of the housing market being a major one. Since rates today are nearly double what they were last year, buyers have lowered their budgets and accepted that this is the new normal. There is not much that we can do to change these circumstances, but Debbie talks about the things we can control, such as leveraging the money you already have and looking to buy rather than rent when possible. Tune in for more great insights from Debbie. Highlights: -The decisions being made in D.C. have major consequences. We printed a lot of money to help people during the pandemic, but the effects of this catch up with us at some point -It is costing people to live more now than ever before -A lot of people on fixed income are struggling -Rates today are 7.7%—almost double what they were last year -People that wanted to buy houses last year decided to wait it out, but have now lowered their budget due to the increase in rates -On the flip side, home prices have gone down a bit -There aren’t going to be people buying homes unless they have the money to spare -People are waiting for prices to drop, but we have to accept that this is the new normal -The people that are going to move are the people that need to move, and the housing market is going to calm down. Debbie predicts that people are going to sit still for the next few years -Leverage the money that you have. When it sits in the equity of your home, it doesn’t gain anything -Put your money into an investment that makes more than your mortgage -If you’re moving from somewhere that has more expensive real estate, prices in states like Florida seem like a bargain. It’s important to remember that real estate is relative -The Fed won’t pivot for a while, according to Debbie. They will raise rates again one more time next year; the situation isn’t changing for the next 6-8 months -Home buying is still a better option than renting from a landlord Useful Links: Financial Survival Network Money Strategies with Debbie