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Comment by markhesketh | Hacker News Reader

I'm the same, but I'm not sure how likely it'll be.

My fear is the gov will do everything they can to prop it up, like in covid, possibly leading it to rise yet again.

The uk is one of those strange countries where property prices go up despite rampant inflation (thus reduced budgets), increasing interest rates and increasing energy bills. But i still hope that somehow there will he a blip. Anyway good look! I am looking at mk (post code not necessarily the city), small villages and towns ideally around the new rail. We might even end up as neighbours!

wait isn't it standard for real estate to go up in inflationary times?

How? There’s a family budget. You subtract increasing costs for food, clothing, public transport, and whats left gets used for a mortgage. So unless pay goes up you cant afford a mortgage. Traditionally the government and banks would make loans cheaper. But the interest rate is also going up. The british government is talking about multi generational loans but to me thats just crazy. We really need to solve it by making housing more affordable.

Real estate is an asset. The price of assets increases when there's inflation. I'm not so sure you pay for things in the order listed. You probably can do without new clothes longer than you can go without shelter.

Ideally, but many folks prefer that over a mortgage, and instead pay rents.

Rents are inflating almost as fast.

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