> If you make money more expensive nominal house prices might drop but you also made it harder to acquire money in the first place.
In a deflationary environment, as housing/rent prices drop, savers are rewarded.
Renting doesn’t entail taking out a mortgage.
> It doesn't create more land or housing.
Nor does building more housing in an inflationary environment necessarily satiate investor demand for inflation-resistant assets in the form of residential property.
In a deflationary environment, as housing/rent prices drop, savers are rewarded.
Renting doesn’t entail taking out a mortgage.
> It doesn't create more land or housing.
Nor does building more housing in an inflationary environment necessarily satiate investor demand for inflation-resistant assets in the form of residential property.