Not sure where they got their data. House prices are appreciating ~5% which means they create wealth faster than they confiscate it- at least for now. High interest rates can be deflationary on asset prices of course but so can low rates since they create negative marginal costs of holding capital. Rates should match the economic growth rate for ideal capital expansion.
Inflation will be primarily absorbed by assets though. Reference: used cars. Also boomers retirement and millennial buyers are secular trends that create sustained demand
Not sure where they got their data. House prices are appreciating ~5% which means they create wealth faster than they confiscate it- at least for now. High interest rates can be deflationary on asset prices of course but so can low rates since they create negative marginal costs of holding capital. Rates should match the economic growth rate for ideal capital expansion.
Inflation will be primarily absorbed by assets though. Reference: used cars. Also boomers retirement and millennial buyers are secular trends that create sustained demand